Dewey Offers New Clawback Deal; Top Earners and Firm Leaders Would Pay More
Posted Jul 27, 2012 7:15 AM CDT
By Debra Cassens Weiss
Dewey & LeBoeuf is offering a new clawback deal valued at $90.4 million after a former proposal raised hackles among retirees and other former partners who said firm leaders and high earners should have to pay more.
The new proposed settlement lowers the minimum payment by lower-earning former partners and raises the maximum for those who were highly paid, according to Reuters, the Wall Street Journal and the Am Law Daily. The minimum is now $5,000 rather than $25,000, and the maximum is now $3.5 million rather than $3 million. In addition, members of Dewey’s executive committee would pay a premium of up to 20 percent, based on earnings and length of their leadership term, the Am Law Daily says.
Those who agree to the settlement terms would be barred from suing over Dewey’s collapse, and would also be protected liability. Former chairman Steven Davis is not included in the plan, the Am Law Daily says. Neither are former Dewey partners Stephen Horvath III and Janis Meyer, who are working to wind down the law firm. Horvath and Meyer would be included in the release, however.