Termination, General Provision

Sample 1

If your employment terminates because of your voluntary termination of employment or if it is terminated by company for cause, then your obligations under this agreement, including those contained in paragraphs _____ through _____ remain in full force and effect, and company will be entitled to all legal and equitable rights and remedies under this agreement.

If your employment is terminated by company without cause, then:

a. Your obligations under this agreement, including those contained in paragraphs ______ through _______, remain in full force and effect, and company will be entitled to all legal and equitable rights and remedies under this agreement; and

b. You will be entitled to your basic compensation and the other benefits provided in paragraph 5 for the remaining period of the contract term, subject to the provisions of paragraph 11e; and

c. you will be entitled to any incentive compensation payable under the terms of the incentive plan; and

d. You will be entitled to post termination benefits payable under company’s employee benefit plans, including any right to participating companies medical plans under COBRA, based on your service up to the termination date; and

e. You will use your best efforts to obtain other employment consistent with this agreement. If you accept other employment, you will promptly notify company of the compensation receivable or which you would expect to receive from that employment that is attributable to the remaining period of the contract term. All basic compensation otherwise payable under this agreement for any remaining period of the contract term will be reduced by the amount of any compensation receivable or which you expect to receive from your subsequent employment; and

f. Notwithstanding the foregoing, the minimum amount payable to you upon your termination shall be your basic compensation for the period during which your post termination obligations under this agreement are in force.

Sample 2

This agreement and your employment shall commence as of the date of this agreement and shall continue until one
year from the start and thereafter, unless terminated by ither party with or without cause by the party desiring to terminate serving upon the other party at least 14 days
prior written notice of termination during or after the initial year, or it may be terminated by the company for cause, effective immediately upon service or written notice.

Drafting note (not part of the operative clause): Including a detailed "Cause" definition and termination procedure, as this clause does, establishes a for-cause employment relationship. If the surrounding agreement or handbook also contains an at-will disclaimer, the two are in tension -- courts have found that a detailed disciplinary/cause procedure can support an implied-contract exception to at-will status. Choose one model: either a genuinely at-will relationship with no cause procedure, or a for-cause/fixed-term relationship like this one, not both in the same agreement.