Nick Hobden acted for a company in the drinks sector in relation to the managed exit of a senior executive. The company specialised in drink flavourings.
Following a series of incidents shareholders’ lost confidence in one of their senior executives and a decision was made to remove the executive from the business. The situation was challenging because of the executive’s integral role in the company and other group companies. Additionally the company was undergoing a restructuring and there was a risk that staff would feel unsettled and the executive’s exit would cause significant uncertainty. We advised on how to handle the issue discretely and sensitively. As the management team’s decision would be unexpected there was a risk that the executive would respond negatively and could damage the company’s reputation and destabilize the company’s employees. In particular, as the executive was well known in the industry, the company wanted to avoid any negative publicity.
Nick Hobden helped the company to construct a fair package of which included recognising the past service the executive had made to its business. Nick Hobden supported the company through its discussions and resolved the matter in less than 10 days.