Court Orders Online Resources To Pay Ex-CEO For Wrongful Termination
CHANTILLY, Va. – A jury awarded Online Resources Corp.’s former CEO Matthew Lawlor about $5.3 million in damages in an employment-related lawsuit filed by him, the company said Friday.
Lawlor was forced out in December 2010 amid growing losses at the company he founded, when he was said by the company to be retiring to “pursue other interests.”
Shares in Online Resources, which has struggled the past few years, have roller-coastered since January when the company received what it called unsolicited takeover offers, then rejected the offers weeks later. The company is scheduled to release its first quarter results this week.
The company reported a $2 million loss for its fourth quarter and a $4.2 million loss for its fiscal year.
Online Resources said the award amount was less than the $15.9 million Lawlor had sought in damages. Lawlor had been CEO of Online Resources since the company’s inception in 1989.
John Dorman, chairman of Online Resources, said the company will aggressively pursue ways to overturn the jury’s decision. “We are very disappointed in this verdict and we intend to aggressively pursue all available avenues to have this verdict overturned or set aside,” said Dorman. The company said it will reserve for this potential liability in its first quarter results.