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Addison F. Doherty quoted in Global Relay Intelligence & Practice on workplace relationships
Addison F. Doherty, associate in the firm’s Employment Department, was quoted in an article from Global Relay Intelligence & Practice (GRIP). The article, titled “In the name of love – managing workplace relationships,” discusses workplace relationships, including the typical rules surrounding them, potential consequences of breaching these rules, and specific examples from popular companies.
From the article:
An interesting question for companies to consider is whether violating a conflict of interest policy is a “for cause” termination. Employees – including top executives – can be fired with or without cause in the United States, but this distinction matters when financial incentives (stock awards, severance, etc) are in play at the time of termination.
“The financial distinctions between those two types of exits can be substantial, and not all definitions of ’cause’ incorporate inter-office romance or even ‘conflicts of interest,’” said Addison Doherty, associate at Sherin and Lodgen in Boston.
Doherty also mentioned the “for cause” element with regard to the company’s contractual obligations to the executive. “A wise and diligent board will consider the definition of ’cause’ in any forfeiture provision in an executive’s deferred compensation or equity vehicle, and the devil is often in the details here – not all misconduct, regardless of how egregious, satisfies every contract.”
