Willis Towers Watson is suing brothers in a contractual dispute over monies owed after their departure from the broker
Willis Towers Watson is suing ex-Willis Re chairman Peter Hearn and his brother David Hearn in a contractual dispute over money owed following their departure from the broker to join rival firms.
Peter Hearn resigned from Willis Re in May 2015 to become chief executive of Guy Carpenter, while David, formerly an executive vice-president, left Willis Re in August 2015.
In a lawsuit filed in the US District Court for the Eastern District of Pennsylvania, Willis Towers Watson accuses the Hearns of breach of contract, unjust enrichment and conversion for retention awards they were given during their time with Willis Re, Business Insurance reports.
Willis alleges that, according to their respective employment contracts that paid Peter an award of $1.75 million each year in 2013, 2014 and 2015 and David $525,000 to $675,000 a year during that period, they agreed to repay the performance awards should they leave Willis before the end of their contracts.
Willis Towers Watson alleges the men have refused to repay their portions of the awards.
Willis Towers Watson is suing for $2.8 million in damages from Peter and $800,000 from David.
Guy Carpenter declined to comment on the case.