Common use of Ceiling on Settlement Clause in Contracts

Ceiling on Settlement. Parties agree that in no event shall Employee have any rights under this Agreement to a cash settlement, if any, which exceeds the maximum ceiling imposed under California Government Code section 53260. Government Code section 53260 provides that the maximum cash settlement for a terminated employee be “an amount equal to the monthly salary of the employee multiplied by the number of months left on the Agreement,” or eighteen months' salary, whichever is less. In addition, Employee shall have the right to be paid the settlement over the 18 month period or lump sum. Employee shall also have the right to medical benefits for the number of months left on the Agreement or 18 months, whichever is less, or until Employee finds other employment, whichever occurs first.

Ceiling on Settlement. Parties agree that in no event shall Employee have any rights under this Agreement to a cash settlement, if any, which exceeds the maximum ceiling imposed under California Government Code section 53260. Government Code section 53260 provides that the maximum cash settlement for a terminated employee be “an amount equal to the monthly salary of the employee multiplied by the number of months left on the Agreement,” or eighteen months' salary, whichever is less. In addition, Employee shall have the right to be paid the settlement over the 18 18-month period or lump sum. Employee shall also have the right to medical benefits for the number of months left on the Agreement or 18 months, whichever is less, or until Employee finds other employment, whichever occurs first.