Stewarts Law bankers' bonuses case nominated by the Lawyer as one of the Top 20 Cases of 2012

The Lawyer
02 January 2012

According to the Lawyer (2 January 2012), "The banking collapse of 2008 continues to dominate, kicking off with what is widely believed to be the defining case on bankers' bonuses. While it may not be the largest sum in dispute - £29m claimed by 104 bankers - it will certainly be high-profile. On the defendants' side sits Dresdner Kleinwort, which merged with Commerzbank in early 2009, backed by a German government bailout of €18.2bn (£15.4bn).

As the definitive case on bankers' bonuses and the first group action of its kind to be heard in the High Court, this is an eagerly awaited matter. The group of bankers launched their claim in September 2009, alleging that they are owed a combined €33m in bonuses that the bank had previously agreed to honour. In June 2008 the bank had informed the FSA that it had taken action to mitigate the risk of significant staff defections by creating a staff retention scheme, which would include a minimum bonus pool. Instead of receiving their traditional Christmas bonus letter, the claimants were told that any bonus would be subject to a so-called 'material adverse change clause', effectively meaning that the bonus would be paid in February 2009 pending the financial performance of Dresdner Kleinwort.

The case is against the former bank Dresdner Kleinwort, which merged with Commerzbank in early 2009, backed by a German government bailout of €18.2bn."