Understanding Employee Benefits

NYSE AND NASDAQ PROPOSE RULES REGARDING INDEPENDENCE OF COMPENSATION COMMITTEES AND ADVISORS

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Our sister blog, Dodd-Frank.com, recently published summaries of the respective proposed rules for public companies issued by the New York Stock Exchange and the NASDAQ in entries on September 25 and September 26. You may access the summaries through the following links: http://dodd-frank.com/nasdaq-proposes-rules-regarding-independence-of-compensation-committees and http://dodd-frank.com/nyse-proposes-rules-regarding-independence-of-compensation-committees-and-compensation-advisers Each of the proposed rules... Read More

Topics: Compensation Questions, Executive Compensation

Certain Employment and Severance Agreements May Need to Be Amended by 12/31/12 to Avoid 409A Penalties

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            In IRS Notice 2010-6 and Notice 2010-80, the IRS expanded rules outlined in the 2007 Final Regulations under Code Section 409A to describe a potential violation of that Section where certain severance type payments are made upon the execution of a release (or the expiration of a statutory rescission... Read More

Topics: Compensation Questions

It is Always Good to Follow the Plan’s Claims Procedure in Denying a Claim

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A recent Eighth Circuit Court of Appeals decision involved high ranking executives who participated in a company’s long-term incentive plan. Under the plan agreements, executives who did not continue employment for a three year performance period forfeited benefits under the plan unless they qualified for a pro-rated award. A pro-rated... Read More

Topics: Compensation Questions, Deferred Compensation and 409A, ERISA and Other Benefits Litigation, Executive Compensation