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LAWSUITS NEWS & LEGAL INFORMATION

Louisiana State University

This is a settlement for the Commercial lawsuit.

Baton Rouge, LA: (Aug-30-07) Don Smithburg, former hospital system chief at Louisiana State University (LSU), brought charges against the varsity, alleging that it breached his employment contract. Smithburg served as chief executive officer of LSU's Health Care Services Division until abruptly removed from day-to-day hospital management responsibility June 8, 2007. He was assigned to the LSU System central office until his contract ended. The dispute centered around whether Smithburg's $384,000-a-year contract ended after three years or whether he was entitled to a fourth year.

In a settlement reached, LSU agreed to pay $190,000 to its former hospital system chief to end the employment contract dispute. The deal guarantees Smithburg about half of his annual compensation in severance pay. Further, as part of the agreement, LSU has put in place procedures that will stop that type of ambiguity to exist again over contract terms. [THE ADVOCATE: HOSPITAL CEO]


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Published on Sep-1-07


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