BearingPoint Creditors Object To Employee Incentives

Law360, New York (May 19, 2009, 12:00 AM EDT) -- Unsecured creditors in BearingPoint Inc.'s Chapter 11 case are objecting to the technology consulting firm's incentive plan for key employees, saying it includes retention payments to insiders that are prohibited under the U.S. Bankruptcy Code.

In an objection filed Tuesday, the official committee of unsecured creditors claims the proposed bonuses for top company executives can't be considered incentive payments because they include payments tied to sales that have already taken place.

The revised incentive plan calls for $1.8 million in incentive payments for executives involved in...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.