On this episode of “Just Compensation,” Darren Goodman, Sophia Mokotoff, and Taryn E. Cannataro discuss equity compensation that can be issued by partnerships, with a special focus on profits interests. Profits interests are very commonly used by partnerships due to their flexibility in structuring and advantageous tax treatment. The lawyers explain the pros and cons of such arrangements.

Speakers:

Darren Goodman, Vice Chair, Executive Compensation and Employee Benefits
Sophia Mokotoff, Partner, Tax
Taryn E. Cannataro, Counsel, Executive Compensation and Employee Benefits

Andrew Graw, Taryn Cannataro, and Jessica Kriegsfield of Lowenstein Sandler's Employee Benefits and Executive Compensation Practice Group address multi-employer pension plans in the context of a business transaction, providing listeners with an overview of considerations and areas of potential liability plus tips on how to mitigate these issues. A multi-employer plan is comprised of various unrelated employers who make contributions on behalf of a unionized workforce; these contributions are based on a collective bargaining agreement, so failure to make those contributions or certain types of withdrawals can result in liability for the acquirer or the target. The lawyers advise inquiring about the funding status of the plan, considering the impact of changes in the workforce post-closing, and addressing potential withdrawal liability in the purchase agreement before closing a business transaction when a multi-employer plan is involved.

Speakers:

Andrew E. Graw, Partner and Chair, Employee Benefits & Executive Compensation
Taryn E. Cannataro, Counsel, Employee Benefits & Executive Compensation
Jessica Kriegsfeld, Associate, Employee Benefits & Executive Compensation

On the latest episode of “Just Compensation,” Andrew E. Graw, Taryn E. Cannataro, and Jessica I. Kriegsfeld address single-employer defined benefit plans in the context of a business transaction, and the potential liabilities inherent in maintaining the plan post-closing as well prior to the closing— especially in light of how well funded the plan is. They discuss who bears the liability for a defined benefit plan in a transaction, and what an acquirer can do to mitigate the pension liability.

Speakers:
Andrew E. Graw, Partner and Chair, Employee Benefits & Executive Compensation
Taryn E. Cannataro, Counsel, Employee Benefits & Executive Compensation
Jessica Kriegsfeld, Associate, Employee Benefits & Executive Compensation