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• Campbell v Potash Corp Of Saskatchewan
  Executive brought breach of golden parachute/change in control agreement against successor company have merger. Court awarded judgment for executive.
• Cline v Commissioner Internal Revenue
  Former executive challenged IRS ruling on bonus payments received from employment as taxable income. Court held against executive because the bonus payments constituted excess parachute payments subject to taxation under 280G.
• Cvelbar v CBI Illinois Inc
  Executive sued former employer over the continuation of his severance benefits. Court held against executive on the basis that his severance agreement was an ERISA plan and company properly characterized severance payment as parachute payment and terminated continuation of benefits.
• Hemingway v US
  Estate of former executive involved in merger brought action contesting tax penalty assessed. Court held against estate because payments received constituted parachute payments under 280G.
• In re CRYSTAL APPAREL, INC
  Holding:(1) those portions of DIP's postpetition extension letters that provided for increase in executives' salaries and for extension of their employment terms for one year were in the ordinary course of business and, thus, did not require court approval; (2) those portions of DIP's postpetition extension letters that incorporated prepetition "golden parachute" provisions were out of the ordinary course of business and, absent court approval, were unenforceable and could not give rise to expense of administration; (3) new severance agreements entered into by executives upon sale of debtors' assets replaced all former severance provisions, including "golden parachute" clauses; and (4) executives' "golden parachute" payments did not constitute "severance." Debtors' motion for summary judgment granted.
• Square D Company v IRS
  Corporate taxpayer petitioned for redetermination of deficiencies arising from its acquisition in reverse subsidiary merger, and related golden parachute payments. The Tax Court, Gale, J., held that: (1) taxpayer was entitled to amortize payments for loan commitment and legal fees related to its merger; (2) lump sum payments to taxpayer's executives were golden parachute payments; and (3) a portion of payments was deductible as reasonable compensation. Decision for taxpayer in part, and for IRS in part.
• Szomjassy v. OHM Corp
  Executive brought breach of contract claim for failure to pay sums due upon change in control.