Covid No Excuse for Halting Payments to Stanley Furniture Execs

Retired Stanley Furniture Co. executives won their lawsuit seeking nearly $700,000 in unpaid deferred compensation, after a federal judge in Virginia ruled that financial hardships exacerbated by the Covid-19 pandemic were no excuse for the company to stop these payments.

Stanley argued its obligation to make deferred compensation payments to the 17 former executives was suspended by the business struggles the company faced both before and during the Covid-19 pandemic. The company cited language in the benefit plan providing that, in the event of a bankruptcy, benefit payments would be made only if the company could pay its secured creditors. ...