issues

Incentive Compensation, Bonuses & Carried Interest

If you’re an executive or professional in corporate America, your compensation demands careful attention. We can help you navigate every clause, so your interests come first.

For many executives and professionals, compensation is a complex web of negotiations that includes salary, bonuses, long-term incentive plans, equity grants, and, for some, carried interest.

 

These aren’t boilerplate terms. They’re levers that drive your earning potential, your mobility, and your leverage.

Compensation is always a key concern. Our team is fluent in executive pay structures, including bonuses, equity awards, and severance packages.

We also have a deep understanding of market and industry standards, and the negotiating positions of today’s large employers. Together we help clients identify their goals and negotiate fair, competitive compensation.

Every detail matters. Vesting schedules, performance hurdles, clawbacks, change-in-control triggers, and restrictive covenants are all negotiable. Your employer likely has legal counsel guiding it through the process. You should, too.

How We Support You in Bonus and Equity Negotiations

Our clients include C-suite executives and other executives and professionals who seek pragmatic counsel on the full spectrum of incentive compensation concerns. From negotiating multi-year bonus guarantees and equity acceleration, to untangling deferred compensation and partnership units, to protecting carried interest on exit—we help you make the most of every opportunity. We bring deep market knowledge and practical experience to the table.

Outten & Golden attorneys also bring significant mediation, arbitration and litigation experience to every relationship. Working together with executive and professional clients, we’ve successfully resolved hundreds of compensation disputes with major employers across finance, retail, healthcare, tech and other sectors. Drawing on this deep experience, we stand ready to aggressively protect your interests.

Framing the Issue

  • Performance-based compensation—which lets CEOs cash in stock awards if the business meets targets—is increasing. Clear contract terms and performance metrics are critical to protect an executive’s interests.

  • Executive turnover is surging, driven by increased responsibilities and higher stress. Proactively reviewing and negotiating employment contracts and severance terms ensures protection if transition comes suddenly.
  • Despite positive momentum in board diversity in recent years, the gender gap remains in the C-suite. Compensation is often a contributing factor to the gender gap, one that requires careful attention in contract negotiations.

Notable Matters

  • Structured all aspects of compensation for an incoming C-suite hire, including sign-on and guarantee, as well as equity-based incentive compensation. 
  • Advised a CEO joining a private equity-backed company on long-term incentive plans and phantom equity arrangements. 
  • Negotiated compensation and new employment agreements for an executive during a special purpose acquisition company (SPAC) transaction taking an online retailer public. 
  • Advised a C-suite executive on incentive plans and ERISA-governed severance arrangements for retirement. 
  • Guided a management team as their company was acquired by a private equity firm. 

Has this happened

to you?

If you are weighing a complex compensation package, we’re here to support you.

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