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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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