Separation Agreement and General Release (District of Columbia)

SEPARATION AGREEMENT AND GENERAL RELEASE

District of Columbia

PRIVILEGED AND CONFIDENTIAL

This Separation Agreement and General Release ("Agreement") is entered into by and between:

EMPLOYER: [________________________________] ("Company"), a [________________________________] with its principal place of business at [________________________________]

EMPLOYEE: [________________________________] ("Employee"), an individual residing at [________________________________], Washington, DC [____]

Date of Agreement: [__/__/____]

RECITALS

WHEREAS, Employee has been employed by Company in the position of [________________________________] since [__/__/____], working primarily in the District of Columbia;

WHEREAS, the Parties have agreed that Employee's employment shall end effective [__/__/____] (the "Separation Date");

WHEREAS, Company desires to provide Employee with separation benefits in exchange for the terms herein;

NOW, THEREFORE, the Parties agree as follows:

ARTICLE 1: SEPARATION OF EMPLOYMENT

1.1 Separation Date. Employment terminates as of the Separation Date. Employee resigns from all positions with the Company Group.

1.2 Last Day of Work. [__/__/____].

1.3 Final Wages -- DC Requirements (CRITICAL).

(a) DC Wage Payment Act (D.C. Code § 32-1303). If Employee is discharged, all earned wages are due no later than the working day following discharge. An exception extends the deadline to up to four (4) working days if Employee is responsible for employer monies or accounts requiring an audit. If Employee resigns without a written contract providing for 30+ days' notice, wages are due by the next regular payday or within seven (7) days, whichever is earlier.

(b) Late payment may trigger liquidated damages under DC law. Company shall NOT condition earned wages on execution of this Agreement.

(c) PTO/Vacation Payout. DC treats accrued paid leave as vested compensation absent a clear agreement to the contrary. If Company policy provides for vacation accrual, accrued vacation of $[________________________________] must be paid at separation. If Company has a valid policy denying payout (which must be clearly communicated), state that: [________________________________].

(d) DC Accrued Sick Leave. Under D.C. Code § 32-531, employers are not required to pay out accrued unused sick leave upon separation.

1.4 Expense Reimbursement. Submit within [____] days.

ARTICLE 2: SEVERANCE CONSIDERATION

2.1 Severance Payment. ☐ Lump Sum: $[________________________________] ☐ Installments: $[________________________________] in [____] installments.

2.2 COBRA. Employee eligible. ☐ Company-paid bridge: [____] months.

2.3 Outplacement. ☐ Through [________________________________] for [____] months, not to exceed $[________________________________].

2.4 Equity/Bonus. Per plan documents.

2.5 Tax Treatment. W-2; DC income tax withheld. IRC § 409A compliance. Employee responsible for own taxes.

ARTICLE 3: GENERAL RELEASE OF CLAIMS

3.1 Employee Release. Employee releases all claims through signing, including:

(a) Federal Statutes: Title VII, ADEA, ADA, GINA, Equal Pay Act, FMLA, ERISA (excluding vested benefits), WARN Act, USERRA, 42 U.S.C. § 1981, Rehabilitation Act, Pregnant Workers Fairness Act.

(b) DC Statutes:

• DC Human Rights Act (D.C. Code § 2-1401.01 et seq.) -- prohibits discrimination based on race, color, religion, national origin, sex, age, marital status, personal appearance, sexual orientation, gender identity or expression, familial status, family responsibilities, matriculation, political affiliation, genetic information, disability, source of income, status as a victim of an intrafamily offense, place of residence or business, and credit information. Covers employers with one (1) or more employees.
• DC Wage Payment Act (D.C. Code § 32-1301 et seq.)
• DC Wage Theft Prevention Act (D.C. Code § 32-1301 et seq.)
• DC Family and Medical Leave Act (D.C. Code § 32-501 et seq.)
• DC Parental Leave Act (D.C. Code § 32-1201 et seq.)
• DC Universal Paid Leave Act
• DC Whistleblower Protection Act (D.C. Code § 1-615.51 et seq.)
• DC Protecting Pregnant Workers Fairness Act (D.C. Code § 32-1231.01 et seq.)
• All other applicable DC statutory claims

(c) Common Law Claims: Breach of contract, breach of implied covenant, emotional distress, fraud, defamation, invasion of privacy, wrongful discharge, tortious interference, negligence.

3.2 Carve-Outs. NOT waived: (a) enforce Agreement; (b) vested benefits; (c) workers' comp; (d) unemployment; (e) indemnification/D&O; (f) post-signing claims; (g) charges with EEOC, DC Office of Human Rights (OHR), NLRB, SEC, OSHA, DOL; (h) Section 7 NLRA; (i) whistleblower protections; (j) Speak Out Act; (k) unwaivable rights.

3.3 FLSA Claims. Bona fide dispute acknowledged.

3.4 Unknown Claims. Known and unknown claims released to fullest extent under DC law.

ARTICLE 4: ADEA/OWBPA COMPLIANCE

4.1 ADEA claims waived. 4.2 Attorney advice given. 4.3 ☐ 21 / ☐ 45 days. 4.4 7-day revocation to [________________________________]. 4.5 Adequate consideration. 4.6 Understandable. 4.7 ☐ Group disclosures: Exhibit A.

ARTICLE 5: CONFIDENTIALITY AND NON-DISPARAGEMENT

5.1 Confidentiality. Terms confidential; standard exceptions.

5.2 Non-Disparagement. Mutual.

5.3 NLRA Section 7 Carve-Out. Per McLaren Macomb, 372 NLRB No. 58 (2023).

5.4 Protected Disclosures. Reporting to agencies (including DC OHR, DC Office of the Attorney General), whistleblower disclosures, Speak Out Act, cooperating with investigations, truthful testimony -- all preserved. Includes right to discuss wages, working conditions, and seek legal advice.

ARTICLE 6: DEFEND TRADE SECRETS ACT NOTICE

Pursuant to 18 U.S.C. § 1833(b): Immunity for trade secret disclosures made in confidence to government officials/attorneys for reporting suspected law violations, or in sealed court filings.

ARTICLE 7: RESTRICTIVE COVENANTS

7.1 Continuing Obligations. Surviving NDA and invention assignment agreements remain in effect.

7.2 Non-Competition -- DC NON-COMPETE BAN (CRITICAL).

(a) DC Non-Compete Clarification Amendment Act of 2022 (D.C. Code § 32-581.01 et seq.), effective October 1, 2022. DC generally prohibits non-compete agreements for "covered employees."

(b) Key Provisions:

• Covered Employees (BANNED): Employers may NOT require or request any employee earning less than $150,000 in annual compensation to sign or comply with a non-compete. For medical specialists, the threshold is $250,000.
• Highly Compensated Employees (PERMITTED with restrictions): Employees earning $150,000 or more ($250,000+ for medical specialists) may be subject to non-competes if:
• Duration: Maximum 365 calendar days from separation (730 days for medical specialists)
• Functional/Geographic limits: Reasonable and clearly defined
• 14-day advance delivery: The non-compete must be provided to the employee at least 14 calendar days before the employee must agree to it
• Statutory notice: Required prescribed language informing the employee of the restrictions
• Anti-Moonlighting Ban: Employers may NOT prohibit employees from working for another employer or being self-employed, unless the employee is a highly compensated employee and the restriction meets the requirements above.

(c) Penalties: $350-$1,000 per violation (administrative). Employees may sue for $500-$3,000 per violation.

INSTRUCTION: If Employee earns less than $150,000 ($250,000 if medical specialist), DELETE ALL non-compete provisions. If Employee qualifies as highly compensated, ensure 14-day advance delivery, statutory notice, and duration/scope limits are met.

☐ Employee qualifies as highly compensated ($150,000+ / $250,000+ medical specialist)
☐ 14-day advance delivery provided on [__/__/____]
☐ Required statutory notice included
☐ Non-compete deleted (covered employee)

7.3 Non-Solicitation. ☐ For [____] months. Non-solicitation provisions are separate from non-competes under DC law but should still be reasonable.

7.4 NLRA Savings Clause. Nothing restricts Section 7 rights.

ARTICLE 8: RETURN OF COMPANY PROPERTY

Return all property. No copies retained. System access revoked. No deductions from final wages except as permitted by DC law.

ARTICLE 9: COOPERATION

Reasonable cooperation. Company reimburses expenses. Compensation at $[________________________________]/hour beyond [____] hours/month.

ARTICLE 10: REFERENCE POLICY

☐ Neutral verification. ☐ Per Exhibit B. ☐ Other: [________________________________].

ARTICLE 11: NO ADMISSION

Not an admission of wrongdoing.

ARTICLE 12: GOVERNING LAW AND DISPUTES

12.1 Laws of the District of Columbia. 12.2 ☐ DC Superior Court or US District Court for DC. ☐ Arbitration, excluding non-arbitrable claims. 12.3 Prevailing Party entitled to fees.

ARTICLE 13: GENERAL PROVISIONS

Entire agreement; amendments in writing; severability; no waiver; counterparts; notices.

ARTICLE 14: EFFECTIVE DATE

Eighth day after signing (no revocation). Under 40: signing date.

ARTICLE 15: ACKNOWLEDGMENTS

☐ Read/understood; ☐ Attorney advised; ☐ Voluntary; ☐ Adequate time; ☐ Consideration exceeds entitlements; ☐ No post-signing waiver; ☐ ADEA (if applicable); ☐ Property returned.

DC-SPECIFIC COMPLIANCE CHECKLIST

☐ Final pay (D.C. Code § 32-1303): Discharge = next working day (up to 4 working days if accounting exception). Resignation (no 30-day contract) = next payday or 7 days, whichever earlier. Liquidated damages for late payment.

☐ DC Human Rights Act (D.C. Code § 2-1401.01 et seq.): Extremely broad -- 18+ protected categories. Covers employers with 1+ employees. File with DC OHR within 1 year.

☐ PTO/Vacation: Accrued leave = vested compensation absent clear contrary agreement. Must pay out.

☐ Non-compete ban (D.C. Code § 32-581.01 et seq.): Banned for employees under $150,000 ($250,000 medical specialists). Highly compensated: max 365 days (730 medical), 14-day advance delivery, statutory notice. Anti-moonlighting also restricted.

☐ Wages not conditioned on release.

☐ DC OHR filing right preserved.

☐ Whistleblower (D.C. Code § 1-615.51 et seq.) preserved.

☐ OWBPA compliance (if age 40+).

☐ DTSA notice included.

☐ NLRA Section 7 carve-out included.

SIGNATURES

EMPLOYEE:

Signature: [________________________________]

Printed Name: [________________________________]

Date: [__/__/____]

COMPANY:

Signature: [________________________________]

Printed Name: [________________________________]

Title: [________________________________]

Date: [__/__/____]

EXHIBITS

☐ Exhibit A: OWBPA Group Disclosures ☐ Exhibit B: Reference Letter ☐ Exhibit C: Payment Schedule ☐ Exhibit D: Restrictive Covenant Summary ☐ Exhibit E: DC Non-Compete Statutory Notice (if applicable)

Sources and References

• DC Human Rights Act, D.C. Code § 2-1401.01 et seq.
• DC Wage Payment Act, D.C. Code § 32-1303
• DC Non-Compete Clarification Amendment Act of 2022, D.C. Code § 32-581.01 et seq., https://code.dccouncil.gov/us/dc/council/laws/24-175
• Paul Hastings, DC Non-Compete Amendment, https://www.paulhastings.com/insights/client-alerts/d-c-reverses-course-final-amendment-allows-non-compete-agreements-for-highly
• NLRB, McLaren Macomb, 372 NLRB No. 58 (2023)
• 18 U.S.C. § 1833(b) (DTSA Whistleblower Immunity)

This template is provided for informational purposes only by ezel.ai and does not constitute legal advice. Consult a qualified attorney licensed in DC before use.