Severance Agreements in California: What to Review Before You Sign
Most severance offers are first offers. Here is how California law limits what an employer can ask you to give up, and where the real negotiating room usually sits.
By Ingrid Rainey · March 17, 2026 · 8 min read

Most people who call about a workplace problem in San Diego assume there is one process. There are several, they have different deadlines, and the right one depends on what happened rather than how serious it felt. A discrimination or retaliation claim runs through the California Civil Rights Department first. An unpaid wage claim can go to the Labor Commissioner or straight to court. A contract or wrongful termination claim is filed in San Diego Superior Court. Picking correctly at the outset is the single cheapest decision in the case.
Claims under the Fair Employment and Housing Act — discrimination, harassment, failure to accommodate, and FEHA retaliation — require an administrative charge with the California Civil Rights Department before suit. The deadline is generally three years from the last act, and the practical step is requesting an immediate right-to-sue notice so the case can proceed in court without waiting for an agency investigation.
Filing is free and can be done online. Filing correctly matters, because the scope of the charge shapes what claims survive later.
Unpaid wages, overtime, missed meal and rest premiums, unreimbursed expenses, and final pay penalties can be filed with the Division of Labor Standards Enforcement, which holds informal conferences and then a Berman hearing. There are no filing fees and no requirement to have counsel.
The tradeoff is scope and speed: the Labor Commissioner does not hear discrimination or wrongful termination claims, awards can be appealed into Superior Court for a fresh trial, and collection is its own project. Larger wage claims and mixed cases usually belong in court.
Have a question about your situation?
Rainey Law P.C. advises San Diego businesses and employees on matters like this one.
Request a consultationAn early consultation is largely about forum and deadlines, not about arguing the merits. Rainey Law P.C. represents employees and employers across San Diego County from its office on West Bernardo Drive, and most consultations end with a clear answer about which process fits.
For FEHA claims — discrimination, harassment, failure to accommodate, retaliation — yes. Wage claims and contract claims can be filed in Superior Court without one.
Civil cases are filed at the Hall of Justice downtown for central and south county, and at the Vista courthouse for North County matters. Federal claims go to the U.S. District Court for the Southern District of California.
Administrative filings with the CRD and Labor Commissioner are free. Court cases carry filing fees, and many employee-side cases are handled on contingency, so the initial consultation should include a plain explanation of the fee structure.
This article is general information, not legal advice, and does not create an attorney-client relationship. Outcomes depend on the facts of each matter.
Most severance offers are first offers. Here is how California law limits what an employer can ask you to give up, and where the real negotiating room usually sits.
California does not merely refuse to enforce non-competes — it makes including or enforcing one a violation in its own right, with attorney's fees for the employee.
At-will means an employer can fire you for a good reason, a bad reason, or no reason — but not for an unlawful reason. The case turns on which one it was.
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