Philip T. and Mary Ellen Chaplin - Page 6

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               written notice.  Notwithstanding the foregoing, the                    
               Employer may terminate this Agreement without prior                    
               notice in the event the Employee (i) commits any                       
               dishonest or fraudulent act against the Employer; or                   
               (ii) willfully fails to perform substantially his                      
               duties under this Agreement, other than by reason of                   
               his mental or physical disability. * * *                               
          Petitioner and RHB also executed a “stock purchase and                      
          restriction agreement” (stock purchase agreement) on December 11,           
          1986.                                                                       
               Petitioner received a paycheck from RHB every 2 weeks.  In             
          addition to serving as a fiduciary, petitioner provided                     
          administrative services to RHB.  However, RHB did not break                 
          petitioner’s compensation down into payments for fiduciary and              
          nonfiduciary duties.                                                        
               From 1988 to 1994, RHB’s fiduciaries participated in two               
          committees, the investment strategy committee and the investment            
          committee.  During that time, petitioner served as the discussion           
          leader of the investment strategy committee.  The purpose of the            
          investment strategy committee was to discuss market trends and to           
          serve as a forum for the individual fiduciaries to discuss and              
          share opinions about appropriate investments.                               
               The investment committee met weekly to review individual               
          trust accounts.  The investment committee reviewed 20 to 30 trust           
          accounts per week.  All trust accounts were reviewed three times            
          per year on a fixed schedule.  The investment committee was                 
          responsible for approving trades made by the fiduciaries while              






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