Enforceability of contractual termination settlement barring additional wage claims under German labor law

The Federal Labor Court (BAG) dismissed the plaintiff’s appeal and reversed the lower court’s decision in favor of the defendant, ordering the plaintiff to bear the costs of the appeal and revision proceedings. The dispute concerned a claim for unpaid wages or compensation under a severance agreement, where the plaintiff challenged the validity or calculation of the compensation package agreed upon upon termination of employment. The decisive legal issue centered on the enforceability and interpretation of contractual termination agreements (*Aufhebungsvertrag*) and the statutory conditions for claiming additional compensation beyond the agreed-upon settlement, with the court finding that the contractual stipulations barred the plaintiff’s additional claims.