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Sixth Circuit Rules That Employees Need Not Return Severance Pay Before Suing
Seyfarth Shaw 
Oct. 3, 2018
"This decision means that notwithstanding the fact that the employee signed a severance agreement and accepted severance pay upon leaving the company, the employee may still be able to sue and keep the severance money -- if the employee claims she was coerced into signing the agreement.... [T]he Sixth Circuit's decision only relates to whether employees must return severance pay; it does not address whether employees can disclaim and void the actual severance agreement itself. " [McClellan v. Midwest Machining, Inc., No. 17-1992 (6th Cir. Aug. 16, 2018)]
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