A New Negligence Standard For Compensation Clawback

Law360, New York (July 21, 2011, 1:45 PM EDT) -- The U.S. Federal Deposit Insurance Corporation has adopted final rules which provide that the FDIC, as receiver of a covered financial company, may recover from senior executives and directors who were substantially responsible for the failed condition of the company any compensation they received during the two-year period preceding the date on which the FDIC was appointed as receiver, or for an unlimited period in the case of fraud.

A “covered financial company” is a financial company, other than an insured depository institution, which the treasury...
To view the full article, register now.

UK Financial Services

UK Financial Services

Read Our Latest UK Financial Services Coverage

Financial Services Law360 UK provides breaking news and analysis on the financial sector. Coverage includes UK and European Union policy, enforcement, and litigation involving banks, asset management firms, and other financial services organizations.