ERISA — release

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United States Court of Appeals For the Seventh Circuit

Civil

ERISA — release

A release of claims signed by a former employee in exchange for a severance package is valid and enforceable.

“Hakim admitted that he read the Release in full and signed it knowingly and voluntarily. Given Hakim’s education level and considerable professional achievements, we cannot say that he lacked the sophistication to understand what he was reading and giving up in exchange for his severance package. The Release was not overly technical, nor was it excessively lengthy—it clocked in at seven pages and clearly laid out what Hakim was giving up. While he did not consult with an attorney, the Release advised him to do so and he chose not to. And while he did not negotiate the terms of the Release, there is no evidence that a rational person could not have deemed the amount of that payment adequate compensation for the rights he was giving up. Like the plaintiff in Howell, Hakim fails to put forth sufficient evidence ‘to create a genuine issue of fact on the questions of knowledge and voluntariness,’ and summary judgment in favor of Accenture was appropriate. Id.”

Affirmed.

11-3438 Hakim v. Accenture United States Pension Plan

Appeal from the United States District Court for the Northern District of Illinois, Dow, J., Manion, J.