Cirulis v. Unum Corp. Severance Plan

**What Happened** John Cirulis worked for Unum Corporation and was eligible for severance pay when he left the company. However, Unum required him to sign a nonsolicitation agreement (a promise not to recruit former coworkers or steal clients) before they would pay his severance benefits. Cirulis refused to sign this agreement and sued the company, claiming they had to pay his severance regardless of whether he signed the additional agreement. **What the Court Decided** The court sided with Unum Corporation. The judge ruled that the company's severance plan allowed them to require employees to sign a nonsolicitation agreement as a condition for receiving severance pay. Since this requirement was properly included in the plan's terms, Unum had the right to withhold severance benefits when Cirulis refused to sign. The court also denied Cirulis's request to reconsider this decision. **Why This Matters for Workers** This ruling shows that employers can legally tie severance payments to additional agreements beyond your original employment contract. Workers should carefully review any severance agreements and understand what they're being asked to sign before leaving their jobs, as refusing could mean losing severance benefits entirely.