Umpqua Investors Sue Directors Over Exec Pay

Law360, New York (May 27, 2011, 6:21 PM EDT) -- Umpqua Holdings Corp. shareholders sued the banking company's board of directors and four top executives in Oregon federal court on Wednesday, alleging they breached their duty of loyalty when the board approved raises for the executives despite a negative shareholder return in 2010.

Brought by Illinois pension fund investors on behalf of Umpqua, the parent company of Oregon-based community bank Umpqua Bank, the suit accuses the directors and executives of breach of loyalty and unjust enrichment. The suit also names PricewaterhouseCoopers LLP, the company's compensation consultant,...
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