RICHARD Tolliday, the former Omega Insurance chief executive, could be entitled to £6m compensation after his forced departure from the firm, sources told City A.M. yesterday.
Tolliday is suing Omega for compensation relating to his exit from the company last March, when a shareholder coup ousted chairman Walter Fiederowicz and the board.
He has filed a lawsuit at the High Court in the UK to have the case heard in Bermuda, where Omega is domiciled.
Sources said Tolliday’s case focuses on his contractual right to a change of control clause, which entitles employees to a payment if they are dismissed after a takeover or change of ownership of the company.
If this is upheld, Omega may be forced to pay him millions. He was paid about $1.1m (£687,000) in 2009.
Omega is currently in takeover talks with rival Canopius, which made an unsolicited bid last month.
Tolliday has been seeking compensation since his exit from Omega, where he had clashed with founder John Robinson.