Employment Law Questions? Ask an Employment Lawyer.
Hi, thanks for submitting your question today. My name is***** have over 13 years of legal and consulting experience in this area. I’m happy to assist you with your question today. A separation agreement cannot prevent an employee from reporting illegal activity to a state or federal agency as a matter of law. It can, however, prevent the employee from getting a profit from the reporting. Thus, no, you are not prevented from reporting illegal activity. You may not be able to profit from it however.
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Most separation agreements have a provision that prevents you from recovering if you file with an agency, and in the event you do report it the funds you receive from the agency if any, allow the employer to claw back part or all of your separation amount. Yes, in the separation agreement you waived all rights of further personal recovery, the ethics board may recover and may, in fact, override the separation agreement, getting your position back but it cannot stop the employer from clawing back its contractually paid amount if such a clause is in the separation agreement. They cannot change your termination status based on reporting to an ethics commission, no.Hope this clarifies. let me know if I can assist further. thanks.