Transcript Slide 1

LATEST UPDATES ON EMPLOYMENT
PRACTICES LAW
AN INTERVIEW WITH JEFF GOODMAN, PARTNER,
HEENAN BLAIKIE
Presented by:
Anne Barnes – Assistant Vice President
Yana Yuan – Underwriter
Employment Practice
Liability Loss Scenarios
• An executive was terminated for cause for using
confidential information to orchestrate a
management buyout. Prior to termination, he
had not exercised his stock options. Once
terminated, the company took position that he
lost the right to execute based on the wording of
his stock options / employment agreement.
• Stock options alone could have been worth
$1.3M
• Duration of claim: 6 years
• Case settled for $380K
Employment Practice
Liability Loss Scenarios
• CFO of company was terminated for cause due
to errors in financials. Claim was made for
wrongful termination – including allegation
company knowingly terminated him after he
learned of his brain tumor (Wallace)
• Golden parachute in employment contract
provided for payment of $3M if wrongfully
terminated.
• Settled with his estate (he died) for $900K
Employment Practice
Liability Loss Scenarios
• Three former employees of a Canadian private
company with U.S locations filed Charges of
Discrimination with the EEOC claiming that they
were terminated because of gender and / or
race and treated differently than other
employees, contrary to the provisions of Title VII
of the Civil Rights Act.
• Claim remains “open” with $90K USD paid to
date
Contacting Chubb
Email Submissions or Questions to:
[email protected]
or
[email protected]
General questions and enquiries:
1.866.821.6660
Product Information and Applications:
www.chubbinsurance.com