The Termination and Release Agreement is a crucial legal document used in Malta when concluding an employment relationship through mutual agreement or unilateral termination. This document serves multiple purposes: it formally documents the end of employment, specifies all financial settlements and benefits, addresses ongoing obligations such as confidentiality and non-competition, and includes comprehensive releases to prevent future legal claims. The agreement must comply with Malta's Employment and Industrial Relations Act, Civil Code, and EU regulations, making it particularly important in cases involving senior executives, sensitive departures, or potential disputes. The document typically includes detailed provisions about final payments, benefit treatments, property return, and claims waiver, while ensuring all terms align with Maltese employment law requirements and business practices.
Termination And Release Agreement for Malta
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Termination And Release Agreement
"I need a Termination and Release Agreement under Maltese law for a departing Chief Technology Officer in the iGaming sector, including provisions for unvested stock options and ongoing consultancy arrangements, with an effective date of March 1, 2025."
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1. Parties: Identification of the employer and employee, including full legal names and addresses
2. Background: Brief history of employment relationship, reference to original employment contract, and reason for termination if mutually agreed
3. Definitions: Key terms used throughout the agreement including 'Termination Date', 'Release', 'Claims', etc.
4. Termination of Employment: Formal statement of employment termination, specifying the termination date and final working day
5. Final Payment and Benefits: Details of final salary, notice pay, statutory benefits, and any additional payments
6. Tax and Social Security: Treatment of payments for tax and social security purposes
7. Release and Waiver: Mutual releases from claims and specific details of what claims are being waived
8. Company Property: Requirements for return of company property, documents, and data
9. Confidentiality: Ongoing obligations regarding confidential information and trade secrets
10. Full and Final Settlement: Confirmation that the agreement represents full and final settlement of all claims
11. Governing Law and Jurisdiction: Specification of Maltese law as governing law and Maltese courts' jurisdiction
1. Post-Termination Restrictions: Restatement or modification of any non-compete or non-solicitation obligations, used when original employment agreement contained such restrictions
2. Reference: Terms regarding the provision of employment references, used when parties agree on specific reference terms
3. Outplacement Support: Details of any career transition services offered, included when employer provides such support
4. Legal Advice: Confirmation that employee received independent legal advice, used when agreement includes complex releases or significant payments
5. Announcements: Agreed form of internal/external communications about the termination, used for senior employees or sensitive departures
6. Share Options/Awards: Treatment of existing share options or awards, included when employee has outstanding equity compensation
7. Garden Leave: Terms of any garden leave period, used when employee is placed on garden leave before termination
8. Assistance with Litigation: Employee's commitment to assist with future litigation, used when employee had key role or knowledge
9. Insurance Continuation: Details of any continued insurance coverage, included when employer extends insurance benefits
10. Resignation from Offices: Resignation from directorship or other corporate positions, used for senior employees with multiple roles
1. Schedule 1 - Payment Calculation: Detailed breakdown of all payments including salary, notice pay, statutory payments, and ex-gratia amounts
2. Schedule 2 - Company Property Checklist: List of all company property to be returned by the employee
3. Schedule 3 - Benefits Summary: Details of treatment of various benefits including insurance, car allowance, phone, etc.
4. Schedule 4 - Claims Being Waived: Comprehensive list of statutory and contractual claims being waived
5. Appendix A - Resignation Letter: Form of resignation letter to be signed by employee if resignation rather than termination
6. Appendix B - Reference Letter: Agreed form of reference letter if applicable
7. Appendix C - Public Announcement: Agreed form of any public or internal announcements regarding the termination
Authors
Relevant legal definitions
Clauses
Relevant Industries
Financial Services
Gaming and iGaming
Technology
Maritime
Tourism and Hospitality
Manufacturing
Professional Services
Healthcare
Retail
Telecommunications
Education
Construction
Logistics and Transportation
Pharmaceutical
Aviation
Relevant Teams
Human Resources
Legal
Finance
Executive Leadership
Operations
Information Technology
Sales
Marketing
Customer Service
Administration
Research and Development
Product Development
Business Development
Compliance
Risk Management
Relevant Roles
Chief Executive Officer
Managing Director
Department Head
Senior Manager
Project Manager
Software Developer
Financial Controller
Human Resources Manager
Sales Executive
Operations Manager
Technical Lead
Account Manager
Administrative Officer
Marketing Manager
Legal Counsel
Customer Service Representative
Research Analyst
Product Manager
Business Development Manager
General Employee
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