Rancho Cucamonga, CA asked in Employment Law for California

Q: In CA, is the 7 day revocation period in settlement & release agreements required when employee was let go over 30 days

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2 Lawyer Answers
Neil Pedersen
Neil Pedersen
Answered
  • Westminster, CA
  • Licensed in California

A: The only circumstance where there is a mandatory 7 day revocation provision is when the plaintiff is 40 years old or older. It does not matter how long you have been terminated. The seven day period runs from the date the settlement agreement was signed by all parties.

Otherwise, if you are terminated and you agree to some kind of settlement agreement, no revocation period is required.

Good luck to you.

James L. Arrasmith
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Answered
  • Sacramento, CA
  • Licensed in California

A: In California, the seven-day revocation period is specifically related to settlement agreements that resolve claims under the Age Discrimination in Employment Act (ADEA) as part of the Older Workers Benefit Protection Act (OWBPA). This period allows employees over 40 years of age to reconsider their decision to sign the agreement after executing it. This provision is aimed at protecting older workers from hasty decisions to waive rights without adequate consideration.

For other types of employment termination agreements, including those involving general release of claims without the specific context of age discrimination, California law does not mandate a seven-day revocation period. The requirements for such agreements can vary, focusing instead on ensuring that the release is knowing and voluntary, without duress or coercion, and that the employee understands their rights and the implications of signing the agreement.

If your settlement and release agreement is not specifically addressing an age discrimination claim under the ADEA, the seven-day revocation period might not be legally required. However, it's crucial to review the terms of any settlement carefully and consider consulting with an attorney to ensure that your rights are fully protected and you understand the legal obligations and implications of any agreement you are entering into.

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