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WASHINGTON · WORKPLACE EQUITY & SEVERANCE LAW

Owed equity, bonuses or severance in Washington?

Equity, severance and employment-contract disputes in Washington generally turn on the agreement itself. Deadlines, forums and available remedies depend on the documents and what happened.

You can request a review before you sign anything, even if you are not sure what the agreement allows.

Updated August 2026

THIS MAY INCLUDE
  • Unpaid commissions, bonuses, equity, or deferred compensation
  • A disputed severance agreement or release
  • Noncompete, nonsolicit, confidentiality, or clawback terms
  • Retaliation or termination affecting vested or earned compensation

Washington equity and severance disputes usually proceed in court or arbitration under the governing contract. Written-contract claims generally use a six-year period. Washington currently restricts noncompetes through earnings and duration rules, and enacted law makes all noncompetes void beginning June 30, 2027.

The firm represents employees statewide across Washington in equity compensation and severance matters. The state-level rules on this page apply wherever in Washington you worked. Compare deadlines across all states →

Washington at a glance.

Governing law
Washington employment-contract and noncompetition law, RCW 49.62; RCW 4.16.040
Coverage
No employee-count threshold.
More detailContract rights depend on the documents; non-compete enforceability is governed separately by RCW 49.62.
Written-contract deadline
Washington generally provides 6 years for an action upon a written contract under RCW 4.16.040.
Administrative filing
None, equity, severance, and employment-contract disputes generally proceed in court or contractually required arbitration.
Forum
Contract or RCW 49.62 proceeding
Damages
Contract remedies are not governed by Title VII's employee-count damages-cap schedule.
Primary source, RCW 49.62; RCW 4.16.040 ↗

What may be available under Washington contract and compensation law.

  • Contractual compensation or the value of equity proven due.
  • Contract damages and declaratory or injunctive relief where available.
  • Under RCW 49.62, the greater of actual damages or the statutory penalty, plus fees and costs, when the statute applies.
  • Negotiated severance and contract terms.
SPECIAL PROVISIONS WORTH KNOWING
  • For 2026, Washington's adjusted noncompete threshold is $126,858.83 for employees and $317,147.09 for independent contractors.
  • A duration over 18 months is presumed unreasonable under the law effective through June 29, 2027.
  • Beginning June 30, 2027, enacted Washington law makes all noncompetition covenants void and unenforceable regardless of when signed.
  • A layoff-triggered noncompete under the pre-June 30, 2027 rules requires continued base-salary-equivalent compensation during enforcement.

Where Washington contract disputes are resolved.

COURT / ARBITRATION

Contract or RCW 49.62 proceeding

These disputes do not require a WSHRC or EEOC charge. A contract may require arbitration, while RCW 49.62 supplies a court or arbitration remedy for prohibited noncompete conduct.

Free case review
Think you have a Washington equity compensation and severance claim?

A severance response date may be short even when the lawsuit deadline is longer. A private review identifies the governing documents, forum, and leverage before you sign.

Request a free case review

The same conduct can break more than one law.

What happened to you in Washington may also amount to a separate claim, with its own protections and its own deadlines. Each of these is worth checking before anything lapses.

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Discuss your situation with an employment attorney.

Answer a few brief questions about your workplace matter. Every submission is reviewed by the firm, and potential matters are reviewed by an attorney. Submitting does not create an attorney-client relationship; that begins only if the firm agrees in writing to represent you.

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