Trustee Challenges Bankrupt Loehmann's Exec Bonuses

Law360, New York (January 3, 2014, 6:44 PM EST) -- The U.S. Trustee watching over Loehmann’s Holdings Inc.’s bankruptcy on Thursday challenged the company’s request to pay bonuses to two executives, saying the bonuses will actually disincentivize them from providing additional services.

U.S. Trustee William K. Harrington said in court papers that the bonuses, which could be as low as $132,950 or as high as $653,250 depending on the outcome of an auction, do not serve as incentives for the two executives to maximize the value of the company’s assets for the estate. Instead, he argued,...
To view the full article, register now.




Case Information

Case Title

LHI Liquidation Co. Inc.

Case Number



New York Southern

Nature of Suit

Date Filed

December 15, 2013

Law Firms


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.