In a notable development within the financial legal sphere, U.S. District Judge Angel Kelley has permitted state law claims to advance in a suit brought by Mairin Rooney, a former Goldman Sachs managing director. Rooney alleges that her subsequent employer, Leerink Partners, failed to honor a promised minimum bonus, totaling $10 million across multiple years.
The legal proceedings are poised to scrutinize the enforceability of compensation promises made by Leerink Partners’ top executives during Rooney’s transition from Goldman Sachs. Central to Rooney’s argument is her claim under state law for civil enforcement of the deferred compensation plan and Massachusetts Wage Act violations. The defense’s stance had been that such monetary guarantees came under the purview of the Employee Retirement Income Security Act of 1974 (ERISA). However, the judge’s ruling indicates a partial agreement with Rooney, acknowledging that the bonuses, which are at the heart of her state law claims, were indeed unencompassed by ERISA.
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