- 6 -
As a result of initial negotiations, Winston completed a
first draft of a final settlement agreement on May 29, 1992.
This draft included clause 2(b), which provided for a $55,000
lump-sum payment to petitioner. The $55,000 lump-sum payment
approximated 5 months of petitioner’s partnership income. The
draft also included clause 2(c), which provided for $3,333.33
monthly “bridging payments” from May 31, 1992, until such time as
petitioner became active in Winston’s retirement plan. These
monthly payments were essentially the same as the annual payments
of $40,000 offered in the original April 15, 1992, severance
letter.
The negotiations continued without agreement and the next
three proposed drafts of an agreement included similar
provisions, but with additional language reducing the $55,000
lump sum by amounts which Winston had already advanced to
petitioner. The first four drafts of the agreement provided for
total cash payments to petitioner of $165,000. That amount is
commensurate with the $175,000 offered under the severance
letters. The $10,000 difference appears to be attributable to a
3-month variation in petitioner’s retirement date under the
letters as opposed to the draft agreements ($3,333.33 x 3
months).
During February 1993, approximately 9 months after
negotiations began, petitioner began receiving psychotherapy
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011