Free deed of release – redundancy templates (Australia)

Ensure an efficient and finalised exit process for employees that you have to let go.

Updated

Fact checked

We’re reader-supported and may be paid when you visit links to partner sites. We don’t compare all products in the market, but we’re working on it!

Making an employee redundant can be a difficult time for all parties involved. This being said, there are ways to make the process run a lot smoother. One of these is by using a well-written deed of release.

So, exactly what is a deed of release? And how do you write one?

We're here to explain everything about this useful document.

What is a deed of release for redundancy?

A deed of release is a legally binding document that employers use to aid the process when an employee is made redundant. It addresses the terms and conditions of the agreement and seeks to ensure that neither party can pursue legal action against the other in the future.

Deed of release (redundancy) template from Lawpath

Download this template at Lawpath

When should I use a deed of release for redundancy?

A deed of release for redundancy should be used when an employee is leaving an employer due to redundancy. It can be useful in ironing out the final terms and conditions between the employer and employee.

When else can a deed of release be used?

A more general deed of release can help to bring an agreement or dispute to an end in a variety of situations. These include:

  • Settling a commercial disagreement,
  • Terminating a personal guarantee,
  • Ending a loan agreement such as a mortgage,
  • Termination of employment.

What does a deed of release for redundancy include and not include?

What's included?

A deed of release should address the terms and conditions of the redundancy agreement. It should cover information concerning:

  • Conditions of the settlement,
  • Settlement amount that the employer will pay the employee,
  • What both parties can and can't do by entering into the agreement.

What's not included?

There are certain clauses that a deed of release cannot and should not contain. A deed of release cannot:

  • Include unreasonable provisions that are against public policy or law,
  • Bind third parties within its clauses.

How effective is a deed of release?

When used in the context of employment, a deed of release can be a valuable document to put in place. It proves useful as an alternative to court proceedings, allowing each party to have their say in the terms and conditions of the document and the freedom to express their views.

As an employer, a deed of release can also help to protect you from unfair dismissal claims. As an employee, it will help you to leave your current employer under more favourable conditions.

Do I need a lawyer for a deed of release?

Getting a deed of release wrong can cause many problems, which is why it's best practice to ask a lawyer to help you to draft and finalize your document.

Data indicated here is updated regularly
Name Product What's offered? Starting price to become a member Annual Fee from Any free legal documents?
Lawpath
Legal documents and templates, Access to lawyers, Legal guides, Legal advice
$79 per month (billed monthly)
Essentials: $288
You can view samples for free and you can create your first document for free.
Choose an annual plan from just $288 and get unlimited revisions to your legal or business documents. Plus, unlock exclusive partner offers.
LawDepot
Legal documents and templates, Access to lawyers, Legal guides, Legal advice
$7.99 per month (prepaid for one year)
$59.88
You can view samples for free and you can create your first document for free.
Get free legal documents in five to ten minutes.
Sprintlaw
Legal documents and templates, Access to lawyers, Legal guides, Legal advice
$699 (or choose a free template)
$699
Some documents are free to download. Get access to all documents with a membership.
Pick between a fixed-fee package from $99 and a 12-month plan that unlocks a host of membership benefits for $699.
Legal123
Legal123
Legal documents and templates, Access to lawyers, Legal guides, Legal advice
Varies per template
N/A
No
Get legal templates for any business type in Australia.
LegalVision
Legal documents and templates, Access to lawyers, Legal guides, Legal advice
$199 per month (bill monthly)
N/A
Some documents are free to download. Get access to all documents with a membership.
Your business can take advantage of unlimited lawyer consultations, fast turnaround times and free legal templates with LegalVision.
Law Central
Law Central
Legal documents and templates, Legal guides, Legal advice
Free for the Silver membership
Gold: $99
You can view samples and create your own document for free with the Silver membership.
loading

Compare up to 4 providers

How do I write a deed of release?

Writing a deed of release depends entirely on the nature of the dispute at hand and the terms outlined in the employment agreement.

A few key points that you'll find in most deed of release, redundancy, documents include:

  • Payment. During redundancy, the employer usually agrees to give a lump sum payment to the employee. This should take into account any money owed to or by either party, including unpaid wages and holidays.
  • Release from liability. A clause to release the employee from all of their current employment obligations.
  • Confidentiality. A confidentiality clause will stop both parties from disclosing information divulged during the deed of release to any outside parties.
  • Statement of service. Acknowledgement that the employer will provide a reference that contains information about the employee's work with the company. This can help an employee to find future employment.
  • Non-disparagement. A non-disparagement clause will prevent an employee from bad-mouthing the company now or in the future and vice versa.
  • Post-employment obligations. An employer can choose to include clauses that prevent the employee from working for a competing company or from continuing to contact specific clients.

Are there any risks in signing a deed of release?

In some cases, a deed of release can limit an employee's legal rights. For this reason, it's important to read the document carefully before signing it and to seek legal help if you're not sure about some of the clauses.

To get started, it's a good idea to use a deed of release template. Here are a few places you can find a template to get the ball rolling:

  • Lawpath. Sign up to Lawpath's legal services and enjoy your deed of release, redundancy template for free.
  • LegalVision. Gain access to unlimited legal templates, including a deed of release, for a monthly membership fee.
  • Fairwork. Find information and advice about workplace rights along with a deed of release example to take inspiration from.
  • Wonder.Legal. Home to hundreds of legal templates including a customizable deed of release template that you can purchase for a one-time fee.
Back to top

More guides on Finder

Ask an Expert

You are about to post a question on finder.com.au:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com.au is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder only provides general advice and factual information, so consider your own circumstances, or seek advice before you decide to act on our content. By submitting a question, you're accepting our Terms of Use, Disclaimer & Privacy Policy and Privacy & Cookies Policy.
Go to site