Edgar Bronfman Sues Vivendi Over Pension Pay
April 11, 2007 at 5:45 AM (PT)
WARNER MUSIC GROUP CEO EDGAR BRONFMAN JR. is suing his former employer VIVENDI S.A. alleging the company improperly cut his pension payments by 65%. In a lawsuit filed in U.S. District Court in MANHATTAN, BRONFMAN alleges VIVENDI cut his pension payments in 2006 after claiming it had erroneously been crediting him for 15 years of additional service beyond the 20 years of actual service BRONFMAN had already accrued.
"There was no mistake," the breach-of-contract lawsuit says. "The additional service at issue was expressly granted by three separate contracts, and BRONFMAN was repeatedly given pension statements -- both before and after his resignation -- reflecting the additional service."
BRONFMAN was CEO of SEAGRAM CO. when it was acquired by VIVENDI in 2000 and served as Executive Vice Chairman of the merged company until he resigned in MARCH 2002. He remained with the company as a consultant and Vice Chairman of its board after his resignation.
He was re-employed by the company from SEPTEMBER 2002 until DECEMBER 2003, according to the lawsuit.