Harvey Weinstein may have been fired illegally
by The Weinstein Company , a company that
wrote a contract that said Weinstein could get
sued over and over for sexual harassment and
as long as he shelled out money , that was good enough for
the Company .
Reporters are privy to Weinstein's 2015 employment contract,
which says if he gets sued for sexual harassment or any
other " misconduct " that results in a settlement or judgment
against TWC , all Weinstein has to do is pay what the
company 's out , along with a fine , and he 's in the clear .
According to the contract, if Weinstein " treated someone
improperly in violation of the company 's Code of Conduct , "
he must reimburse TWC for settlements or judgments .
Additionally , "You [Weinstein] will pay the company
liquidated damages of $ 250 , 000 for the first such instance ,
$ 500 , 000 for the second such instance , $ 750 , 000 for the
third such instance , and $ 1 , 000 , 000 for each additional
instance ."
The contract says as long as Weinstein pays , it constitutes a
" cure " for the misconduct and no further action can be
taken . Translation - - Weinstein could be sued over and over
and as long as he wrote a check , he keeps his job .
The contract has specific language as to when the Board of
Directors can fire Weinstein - - if he 's indicted or convicted
of a crime , but that doesn 't apply here .
There 's another provision ... he can be fired for "the
perpetuation by you [Weinstein] of a material fraud against
the company ." The question .. . where's the fraud ? Lance
Maerov , the board member who negotiated Weinstein's
2015 contract, said in an interview - - and we've confirmed - -
the Board knew Weinstein had settled prior lawsuits brought
by various women , but they "assumed " it was to cover up
consensual affairs . The Board 's assumption does not
constitute fraud on Weinstein's part.
And here 's the kicker . Even if Weinstein had committed
fraud by not fully informing the Board of Directors , the
contract says before he can be fired he has a right to
mediation and if that doesn't work , he 's entitled to
arbitration . He got neither . He was summarily fired, and
sources connected with Weinstein stated that he was never
given a specific reason.
A source connected with TWC said , the company had
a right to fire Weinstein if he didn't notify the Board of
Directors of settlements . We 're told there have been no
settlements since the contract was signed, so it would
seem this clause does not apply .
Harvey Weinstein may have been fired illegally
by The Weinstein Company , a company that
wrote a contract that said Weinstein could get
sued over and over for sexual harassment and
as long as he shelled out money , that was good enough for
the Company .
Reporters are privy to Weinstein's 2015 employment contract,
which says if he gets sued for sexual harassment or any
other " misconduct " that results in a settlement or judgment
against TWC , all Weinstein has to do is pay what the
company 's out , along with a fine , and he 's in the clear .
According to the contract, if Weinstein " treated someone
improperly in violation of the company 's Code of Conduct , "
he must reimburse TWC for settlements or judgments .
Additionally , "You [Weinstein] will pay the company
liquidated damages of $ 250 , 000 for the first such instance ,
$ 500 , 000 for the second such instance , $ 750 , 000 for the
third such instance , and $ 1 , 000 , 000 for each additional
instance ."
The contract says as long as Weinstein pays , it constitutes a
" cure " for the misconduct and no further action can be
taken . Translation - - Weinstein could be sued over and over
and as long as he wrote a check , he keeps his job .
The contract has specific language as to when the Board of
Directors can fire Weinstein - - if he 's indicted or convicted
of a crime , but that doesn 't apply here .
There 's another provision ... he can be fired for "the
perpetuation by you [Weinstein] of a material fraud against
the company ." The question .. . where's the fraud ? Lance
Maerov , the board member who negotiated Weinstein's
2015 contract, said in an interview - - and we've confirmed - -
the Board knew Weinstein had settled prior lawsuits brought
by various women , but they "assumed " it was to cover up
consensual affairs . The Board 's assumption does not
constitute fraud on Weinstein's part.
And here 's the kicker . Even if Weinstein had committed
fraud by not fully informing the Board of Directors , the
contract says before he can be fired he has a right to
mediation and if that doesn't work , he 's entitled to
arbitration . He got neither . He was summarily fired, and
sources connected with Weinstein stated that he was never
given a specific reason.
A source connected with TWC said , the company had
a right to fire Weinstein if he didn't notify the Board of
Directors of settlements . We 're told there have been no
settlements since the contract was signed, so it would
seem this clause does not apply .
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