On Tuesday a case was filed in the District of Puerto Rico by Carlos A. Carrero against Molina Healthcare of Puerto Rico, Inc. The case alleges deception in severance pay negotiations.
The plaintiff, according to the complaint, worked for Molina Health Care of Puerto Rico as CEO. As a part of the remuneration, the plaintiff regularly received stock options in the main Molina Corporation.
Molina of Puerto Rico officially posted notice that they were exiting the insurance market in Puerto Rico and ending the Puerto Rico division at the end of February 2021. According to the complaint, the plaintiff was informed by defendant that the entity would no longer exist as of that date and the final wrap up of the division would be handled by the main office.
The plaintiff negotiated for severance pay based off of that firm date and forfeited several stock options that would not be vested as of that date. The defendant then announced in March that a former Vice President would now be CEO of the Puerto Rico division, which was not shuttered as of February.
The plaintiff is suing for fraud and seeking reinstatement of the stock options as well as monetary damages. The plaintiff is represented by M.L. & R.E.
