Executive Severance

Executive Departures

Severing ties with a director or senior executive comes with countless decisions about how to protect your business. They have the same employment rights as other employees if the reason for dismissing them is not a fair one, or your company fails to follow the correct procedure. If you do not give them the notice they are entitled to under their service agreement, directors can claim wrongful dismissal or breach of contract. If they believe their dismissal is related to a factor protected by law, such as disability or race, they can also make a claim for discrimination.

If you need to terminate a senior executive’s appointment, knowing whether you can discuss it with them without facing a claim for constructive dismissal and whether terms will need to be recorded in a settlement or compromise agreement, are essential.

Poole Alcock’s employment lawyers can negotiate a settlement with the individual, as quickly and cost effectively as possible for your business, ensuring the correct legal processes have been completed. We will advise you on the contractual payments that are due, as well as the implications for the director’s benefits package.

In addition, our commercial lawyers can help you to manage the transfer of shares and obtaining shareholder approval for compensation, register the resignation or removal with Companies House and safeguard your business from loss of confidential information, intellectual property rights and client connections.