This is some text inside of a div block.
6.7.2022

Swedish manufacturer of building materials has requested legal support

Project manager:

Managing partner
Corporate practice, Litigation, Investment projects
July 6, 2022

Swedish manufacturer of building materials has requested legal support

Project description

A major Swedish manufacturer of building materials has requested legal support. The client's current CEO has been removing property from the company for several years. The director's unfair behavior caused serious multimillion-dollar losses for the client, and therefore it was decided to dismiss him. With the support of lawyers, an agreement was signed between the client and the unscrupulous director to terminate the employment contract, including the obligation to pay for the losses caused.

Subsequently, the client needed to liquidate its main subsidiary. In order to maintain the right to compensation for losses, the lawyers transferred the right to claim losses from the company's main daughters to another client company. Thus, according to the agreement, the assignee received the right to claim compensation from the CEO for damages. However, after learning about the liquidation of the main company, the CEO soon abandoned his duties and referred to the invalidity of the cession and the pressure that was allegedly exerted on him when signing an agreement to terminate the employment contract.

The lawyers were faced with the task of recovering multimillion-dollar losses from an unscrupulous director and proving the legality of the agreement to terminate the employment contract in court. During the dispute, the director challenged the agreement on the assignment of claims three times, and the legality of his obligation to pay damages three times. The former director did his best to delay the process, abused procedural rights and tried to delay the fulfillment of his obligations.

However, as a result of timely actions taken, the lawyers managed to defend the client's rights and recover all losses caused to the client in full.

Project team

No items found.