Strategic Severance Lawyers For Executives And Senior Professionals

Properly structured severance agreements protect your earnings and public narrative. Signing too quickly may lead to constraints such as broad non-competes, loss of earned compensation or the waiver of valuable claims. Standard deals can still impact incentive pay, equity and future rights.

At Warren & Siurek, L.L.P., our law firm has been negotiating severance packages for over three decades. We’ve assisted executives and similar professionals in these high-stakes transitions. Over our years of practice, we’ve built a reputation for providing business counsel that seeks practical resolutions while minimizing conflicts.

Our Approach: Measured, Responsive, Executive-Level Advice

We guide you with practical, timely advice, including identifying leverage early in negotiations.

• Making your timeline, privacy and professional objectives a priority.
• Centering negotiations in the agreement language and applicable law.
• Seeking pragmatic solutions that can preserve value and reduce risk.
• Providing firm advocacy by keeping your interests and goals front and center in discussions.

We can tailor our approach to the realities of your situation. We understand that your severance package and company policies are unique and that your circumstances may not exactly reflect those of others.

Frequently Asked Questions About Executive Severance Agreements

The answers below address several issues executives commonly encounter during severance negotiations.

What happens to an executive’s unvested stock options or equity awards after termination?

For most executives, a significant portion of their wealth is tied up in unvested stock options or Restricted Stock Units (RSUs) that face immediate forfeiture under standard plan guidelines.

Fortunately, senior professionals have the leverage to negotiate these terms before signing any paperwork. Negotiations often focus on critical variables, including the following:

• Accelerated vesting schedules that grant early ownership of specific blocks of shares
• Extended exercise windows that give a departing leader more time to buy their vested options
• Detailed reviews of the primary plan documents that ensure every custom change is legally sound

Protecting your equity requires careful review of the paperwork before making a final decision.

Should companies pay for a former employee’s health insurance premiums as part of a severance deal?

Health coverage can be just as important as salary continuation during a transition period. For that reason, many executives look beyond cash payments when evaluating a severance proposal.

While federal guidelines protect your access to the Consolidated Omnibus Budget Reconciliation Act (COBRA) coverage if your company has 20 or more employees, whether the business pays for those premiums is entirely negotiable. Securing three to six months of subsidized healthcare is a standard expectation for departing leaders.

For instance, structured agreements regularly handle coverage through arrangements, including:

• Complete employer funding of the monthly insurance premiums for an agreed time frame
• Shifting the individual to standard COBRA status immediately upon their official last day
• A formal transition off the company’s active health insurance plan on the final day of employment to prevent coverage complications

Handling this step correctly helps ensure a safe transition without a coverage gap.

Is a Texas company legally required to pay out a year-end bonus to a terminated employee?

The answer frequently depends on the language contained in bonus plans, employment agreements, compensation policies and severance documents. Texas employers often rely on written policies that require active employment on a specified payment date.

Under the Texas Payday Law, your right to that compensation rests entirely on:

• Whether the bonus was discretionary or earned under a defined formula
• The exact wording of the compensation plan
• Any release or waiver provisions included in the severance agreement

Bonus disputes often arise from unclear or inconsistent documentation. Reviewing the governing agreements with an experienced attorney can help clarify expectations.

Contact Our Attorneys Today

Companies may present severance terms after a sudden termination or restructuring. They may also negotiate them upfront in an executive employment agreement – especially for senior leadership roles, commission-focused executives and newly created positions.

If you receive a severance, separation, termination, release or non-compete agreement – or you believe you’re entitled to severance – talk with us before you sign. We can evaluate restrictive covenants, compensation provisions, benefit continuation and what rights you may be relinquishing.

Ready to protect your interests? Call our office at 713-489-2202 or email us now.