EFH Gets Judge's Nod For $20M Executive Bonus Plan

Law360, Wilmington (October 15, 2014, 7:31 PM EDT) -- A Delaware bankruptcy judge on Wednesday allowed Energy Future Holdings Corp. to go ahead with its plan to pay out up to $20 million in executive bonuses over the objections of the U.S. trustee's office, which argued the compensation flouted Chapter 11 rules by providing no actual performance incentive.

After a trial in Wilmington that lasted three full court days, U.S. Bankruptcy Judge Christopher S. Sontchi ruled that EFH presented a “thorough, persuasive and unblemished record” that convinced him the bonus plans at issue indeed had targets difficult to attain as is mandated by bankruptcy rules.

“The court will grant the...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS