Tag Archives: retention agreements

Executives Cash in as Companies March Toward Bankruptcy 

Neiman Marcus is the latest company to raise eyebrows with a generous performance- and retention-based compensation plan for a group of executives at a time when the company itself is fighting for survival.    In July, investors, furloughed employees and bankruptcy trustee Henry Hobbs howled at the prospect of a $10 million compensation package for the high-end retailer’s CEO and a … Continue reading

Posted in CEOs, Complaints Against Executives, Corporate culture, Executive Compensation, Retention agreements, Severance Packages | Tagged , , , | Leave a comment

Fifth Circuit Reminder: Words Matter in Employment Contacts, Restrictive Covenants

Sometimes the most fundamental legal concepts are so basic and intuitive that they tend to fall by the wayside in practice. Case in point is a recent Fifth Circuit opinion throwing out an arbitration agreement because the employer didn’t follow … Continue reading

Posted in Arbitration agreements, Executive contracts, Fiduciary Duty, Legal, Litigation | Tagged , , , , , | Comments Off on Fifth Circuit Reminder: Words Matter in Employment Contacts, Restrictive Covenants

In Buc-ee’s Retention Pay Squabble, Former Manager Scores Big Payback from Appellate Court

A Texas appellate court recently stiff-armed the Buc-ee’s convenience store chain for a poorly considered retention pay provision that amounted to “unenforceable restraints of trade.” The court’s interpretation of the retention pay provision is a learning opportunity for employers who … Continue reading

Posted in Clawback provisions, Covenants Not to Compete, Non-Competes, Restraint of trade, Retention agreements | Tagged , , , , , | Comments Off on In Buc-ee’s Retention Pay Squabble, Former Manager Scores Big Payback from Appellate Court

What to do when your successful business unit is sold

Success is sometimes rewarded in strange ways, such as when a company sells off a highly profitable business unit in order to raise cash (as Nestle did when it bought Cadbury and as Barnes & Noble is considering doing with … Continue reading

Posted in CEOs, Change of Control Agreements, Dodd-Frank, Executive Compensation, Executive contracts, Legal, Retention agreements | Tagged , , , , , , , , | Comments Off on What to do when your successful business unit is sold