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FLORIDA RECORD

Thursday, September 19, 2024

Former COO Sues GA Foods Over Unpaid Severance Post-Acquisition

State Court
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A former executive has filed a lawsuit against his previous employer, alleging failure to pay severance and other contractual benefits. On August 28, 2024, Peter Kapferer filed a complaint in the Circuit Court of the Sixth Judicial Circuit in Pinellas County, Florida, against G.A. Food Services of Pinellas County, LLC.

Peter Kapferer served as Chief Operating Officer (COO) for G.A. Food Services from November 18, 2021, until his termination on September 20, 2023. According to the complaint, Kapferer claims that he was promised severance pay and other benefits under an Executive Employment Agreement and a subsequent Executive Retention Agreement. The agreements stipulated that he would receive twelve months of salary ($300,000) if terminated without cause. Kapferer alleges that despite fulfilling his contractual obligations and being terminated as part of a corporate restructuring following an acquisition by Linden Ventures, LLC, he has not received the promised severance.

The case outlines that on April 21, 2023, Kapferer signed an Executive Retention Agreement with G.A. Foods which included provisions for severance payments in the event of a change in control of the company—a scenario that materialized when Linden Ventures acquired G.A. Foods on September 12, 2023. Following this acquisition, Kapferer was informed by CEO Tommy Lewis and Chief Human Resources Officer Carollyn Sorto that his position would be eliminated but assured him he would receive his retention bonus and full severance package as per their agreements.

However, upon termination on September 20, 2023, new owner Ken LoBianco claimed Kapferer's termination was "with Cause" due to alleged supply chain issues leading to customer loss—thereby nullifying his entitlement to severance according to the company's interpretation. Kapferer disputes this justification and asserts that under both the Employment Agreement and Retention Agreement terms—specifically designed to cover scenarios like change-in-control—his termination should be classified as "without Cause," making him eligible for the $300,000 severance.

Kapferer's complaint includes three counts: breach of contract regarding both the Employment and Retention Agreements; unjust enrichment for benefiting from his services without proper compensation; and failure to pay wages pursuant to Florida Statute §448.08. He seeks damages exceeding $50,000 for unpaid wages and benefits along with attorney fees.

Representing Peter Kapferer is Daniela Carrion from The Linesch Firm P.A., while no information about attorneys representing G.A. Food Services or judges assigned to this case is provided within the document.

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