What is Clawback?
Some bonus awards may be subject to clawback provisions, whereby an employer is able to recover vested and paid bonuses awarded up to a specified time period. The circumstances in which an employer may use clawback provisions depends on the nature of the contract, but often clawback provisions are invoked when an employee participates in (or is responsible for) conduct that results in significant losses or which fails to meet the appropriate standards of fitness and propriety (if the employee is a regulated person).
Farore Law is a leading boutique law firm that has a wealth of experience in advising senior executives on employment matters. We are well placed to provide appropriate advice regarding the enforceability of contractual terms, seeking a settlement agreement and commencing or defending litigation in the High Court or the Employment Tribunal.
Please contact us if you require legal advice.