Continue Reading Tax Bill Means Changes to Employee Benefits and Executive Compensation
Understanding Employee Benefits and key developments in the employee benefits field and items of interest to our clients. MORE
Executive Compensation
Certain Employment and Severance Agreements May Need to Be Amended by 12/31/12 to Avoid 409A Penalties
By Jeffrey Cairns on
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 period). While certain severance agreements are…
It is Always Good to Follow the Plan’s Claims Procedure in Denying a Claim
By Stinson LLP on
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 award was available for participants …