Defendant Name:
McDonald's Corporation
Defendant Type:
Public Company
SIC Code:
5812
CUSIP:
58013510
Document Reference:
33-11144
Document Details
Legal Case Name
In the Matter of Stephen J. Easterbrook and McDonald's Corporation
Document Name
Order Instituting Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933 and Section 21C of the Securities Exchange Act of 1934, Making Findings, and Imposing a Cease-a-Desist Order
Document Date
09-Jan-2023
Document Format
Administrative Proceeding
Allegation Type
Issuer Reporting and Disclosure
Document Summary
On January 9, 2023, the SEC instituted cease-and-desist proceedings against Stephen J. Easterbrook and McDonald's stating: "McDonald’s terminated its former CEO, Stephen J.
Easterbrook, after finding that he had exercised poor judgment and engaged in an inappropriate
personal relationship with a McDonald’s employee in violation of corporate policy. . . . In its Definitive Proxy Statement filed after Easterbrook’s separation, McDonald’s
disclosed that it had terminated Easterbrook “without cause” and described the terms of his
separation agreement, including, among other things, his right to certain unvested equity-based
compensation. In violation of Section 14(a) of the Exchange Act and Rule 14a-3 thereunder,
McDonald’s failed to disclose that it exercised discretion in terminating Easterbrook “without
cause” under the relevant compensation plan documents after finding that he violated corporate
policy, allowing Easterbrook to retain certain equity-based compensation that would have been
forfeited if the company had terminated him for cause."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Other Defendants in Action:
