Termination And Release Agreement Template for New Zealand

The Termination and Release Agreement is a crucial document used in New Zealand employment law when parties wish to formally end an employment relationship and settle any potential claims. It is typically used in situations involving redundancy, mutual separation, or the resolution of employment disputes. The agreement must comply with New Zealand's Employment Relations Act 2000 and related legislation, ensuring fair treatment and good faith dealings between parties. This document includes essential provisions such as termination terms, final payments, mutual releases, confidentiality obligations, and any special arrangements agreed between the parties. The comprehensive nature of a Termination and Release Agreement provides legal certainty and protection for both employer and employee, helping to minimize the risk of future disputes while ensuring all statutory obligations are met.

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Brief history of the employment relationship, including start date, position, and agreement to terminate

3. Definitions: Key terms used throughout the agreement, including 'Termination Date', 'Release', 'Confidential Information'

4. Termination of Employment: Formal statement of employment termination, specifying the effective date and nature of termination

5. Final Payment: Details of final salary, holiday pay, and any other statutory entitlements

6. Settlement Payment: Amount, timing, and conditions of any additional payment being made as part of the settlement

7. Mutual Releases: Comprehensive mutual releases of claims between the parties

8. Company Property: Requirements for return of company property, documents, and information

9. Confidentiality: Obligations regarding confidentiality of the agreement terms and company information

10. Non-Disparagement: Mutual obligations not to make negative statements about each other

11. Continuing Obligations: Identification of any obligations that survive termination

12. Tax Treatment: Responsibility for tax obligations on payments made under the agreement

13. Entire Agreement: Confirmation that this agreement represents the complete understanding between parties

14. Governing Law: Specification that New Zealand law governs the agreement

15. Execution: Signature blocks and execution requirements