Management Circular- did anyone notice this?
Page 37- trouble in paridise with the former CEO?
Termination and Change of Control Benefits
The Company has employment contracts with its NEOs that provide for, among other things, the payment of severance in connection with certain termination events.
Effective March 31, 2020, Andrew Clark stepped down as Chief Executive Officer of the Company and J. Bradley Green was appointed Interim Chief Executive Officer of the Company. Upon his departure, the Company and Mr. Clark entered into an agreement that contained the following financial terms (notwithstanding the terms of Mr. Clark’s employment agreement):
•a 10-month consulting contract, subject to certain termination rights by the Company, to provide advisory services (including in respect of transition) at a fee of $50,000 per month;
•forgiveness of a $1,665,104 loan provided by the Company to Mr. Clark (See “Indebtedness of Directors and Officers”) and the payment of $100,000 towards tax arising from such forgiveness;
•the forfeiture of all equity incentives held by Mr. Clark, other than 10,632 performance share units and 1,651 deferred share units; and
•no other payments, including in respect of bonuses, notice or severance.
On April 29, 2020, the Company provided notice to Mr. Clark that his consulting contract had been terminated, which is disputed by Mr. Clark