Specialist Employment advice to Directors and Executives

Over the years, because we act for so many business clients, we have developed a niche expertise in advising directors and senior executives over their terms of employment and over termination deals.

Service contracts for executives are very different from the simpler generic contracts which are used for more junior staff. They often contain much more complex reward packages, including bonus schemes, share save and share option plans and a whole range of more or less sophisticated alternatives.

Companies are often much more concerned about imposing restrictive covenants at this level, and a balance needs to be struck between the company’s interests and an executive’s freedom to earn a living in future.

When things go wrong, there is often much more to consider than at a more junior level. Again, the much more complex remuneration package often leads to thorny questions over compensation claims which require a degree of special expertise and experience.

Likewise, at executive level there are often other issues beyond employment claims which need to be addressed. Senior employees may own shares, they may be directors or trustees, there may be directors’ loan accounts and personal bank guarantees and restrictive covenants may be a contentious issue.

For these reasons, terminations at executive level are most often resolved by negotiation of a comprehensive “clean break” agreement tailored to individual circumstances. However if litigation is required, we can help there too.

We advise executives on a daily basis on all these issues. Nowadays we rarely come across surprises but a “rubber-stamping” approach - to termination agreements in particular - is just not good enough in this situation.

Contact: Andrew Cox or David Cooper

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