When a senior employee is terminated, more is at stake: equity, bonuses, change-of-control benefits, and years of career earnings. An executive employment lawyer can protect that value, whether through a negotiated exit or litigation.

On this page: Executive issues · Common claims · Case value · Severance negotiation · Discreet representation · FAQ
Smith Trial Group represents executives, senior managers, sales leaders and other high earners across Orange County and Southern California in termination, retaliation, discrimination and severance matters. Attorney Cardon Smith spent years representing Fortune 500 companies in business litigation and served as a law clerk to a federal judge. He knows how boards, general counsel and outside employment counsel think about executive departures, what they consider a litigation risk, and what moves them in a negotiation.
Issues Unique to Executives
Equity and deferred compensation
Stock options, restricted stock units, profit interests and deferred compensation often make up much of an executive’s pay. Termination can cut off unvested awards, shorten exercise windows, or trigger forfeiture and clawback provisions. We review your plan documents and award agreements, look at whether the timing of the termination was used to avoid vesting, and use the value at stake as leverage.
Bonuses and commissions
Whether a bonus has been earned depends on the plan’s terms and how it was administered. California requires written commission agreements and treats earned commissions as wages, which can bring waiting-time penalties and attorney’s fees into play when they are not paid on time.
Employment agreements and change of control
Executive agreements often define “cause” and “good reason,” promise severance or notice, and include change-of-control provisions that accelerate vesting or pay after an acquisition. Whether you were terminated for cause, or resigned for good reason, can decide whether those benefits are owed.
Non-competes and restrictive covenants
In California, non-compete agreements are generally void under Business and Professions Code section 16600. Since 2024, employers may not enter into or try to enforce them, even if they were signed out of state, and employees can sue over unlawful non-competes. Non-solicitation and confidentiality provisions are evaluated separately.
Arbitration clauses
Many executive agreements require arbitration. Some claims, such as sexual harassment and sexual assault claims under federal law and SOX whistleblower claims, cannot be forced into pre-dispute arbitration. Others can, but the arbitration agreement itself may be challenged.
Common Claims for Executives and High Earners
- Retaliation for compliance concerns. Executives are often the ones who see accounting, billing, regulatory or safety problems first, and who are pushed out for raising them. California’s whistleblower law and federal laws such as Sarbanes-Oxley protect them. See whistleblower retaliation and federal whistleblower claims.
- Age discrimination. Senior employees replaced by younger, lower-paid hires, often through a “restructuring.” See age discrimination.
- Sex and race discrimination and pay inequity in promotion, compensation and termination decisions. See sex discrimination and equal pay.
- Termination after medical or family leave, or after requesting an accommodation.
- Breach of contract and unpaid compensation under an employment agreement or bonus plan.
- Wrongful termination in violation of public policy. See wrongful termination.
Why These Cases Carry Significant Value
Damages in employment cases track lost compensation. For an executive, that can include years of salary, bonuses, equity, benefits and retirement contributions, plus emotional distress damages, punitive damages where the employer acted with malice, and attorney’s fees under FEHA and the Labor Code. Senior executives also typically take longer to find comparable positions, which increases future losses. Our employment results include a $1.5 million jury verdict for disability discrimination and wrongful termination. Results depend on the facts of each case.
Executive Severance Negotiation
An executive severance offer is usually a starting point, not a final number. Before you sign, we look at:
- The claims you would be releasing, and what they may be worth
- Equity treatment: acceleration, extended exercise periods and clawbacks
- Bonus proration, benefits continuation and COBRA subsidies
- Non-disparagement, confidentiality and cooperation terms, and California limits on non-disclosure of unlawful workplace conduct
- References, the announcement of your departure, and resignation vs. termination
- For employees 40 and over, the waiting and revocation periods federal law requires for a valid age discrimination release
See severance agreement review and our guide to your rights in a layoff.
Confidential, Discreet Representation
Many executive matters resolve without a lawsuit, through a negotiated exit. We can advise you privately while you are still employed, help you document concerns, and negotiate on your behalf without public filings when that serves your goals. We handle many executive cases on contingency, and offer other fee arrangements for severance negotiations where appropriate.
Frequently Asked Questions
I was offered severance. Should I negotiate?
Usually, yes. A severance offer often reflects the employer’s view of its legal risk. Before you sign, a lawyer can assess what your claims may be worth and what else is negotiable, such as equity, bonus and benefits.
Can I be fired right before my stock vests?
An at-will employer can generally control the timing of a termination, but not for an unlawful reason, and not in breach of your agreement or plan terms. Timing a termination to cut off earned compensation, or in retaliation, can support a claim.
Is my non-compete enforceable in California?
Generally no. Non-competes are void in California for most employees, including agreements signed out of state, and employers may not try to enforce them. Narrow exceptions apply, for example to some sales of a business.
Do I have a claim if I was terminated in a restructuring?
Possibly. A layoff or restructuring can be legitimate, but it can also be used to remove someone who complained, took leave, or is older. The selection criteria and timing matter.
Can you help while I am still employed?
Yes. We often advise executives confidentially before a termination or resignation, to help protect their position and plan their next steps.
How do fees work for executive cases?
Many cases are handled on contingency, with no fee unless there is a recovery. For severance negotiations, we discuss fee options at the free consultation.
Related guides: Retaliated for reporting fraud? · SOX whistleblower deadlines · Your rights in a layoff · Is California an at-will state? · Constructive discharge
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