Johnson v. LPL Financial Services

ORDER REGARDING FORM 1099 ISSUING REQUIREMENTS AFTER PAYMENT OF SETTLEMENT

BACKGROUND

On July 25, 2007, Plaintiff and Defendant reached an agreement to settle Plaintiffs employment discrimination case. Plaintiff agreed to release all claims against Defendant in exchange for Defendant’s payment of a confidential sum. The parties were instructed to draft a settlement agreement memorializing their agreement. Thereafter, the parties stipulated that the undersigned would have jurisdiction to decide, inter alia, all disputes regarding settlement terms arising during the documentation of settlement that could not be resolved by the parties themselves.

The parties negotiated a written settlement agreement but came to an impasse regarding to whom, and in what amount, must Defendant provide Internal Revenue Service (hereinafter “IRS”) information form 1099s (hereinafter “form 1099”).

The Court requested that counsel submit briefs regarding the disputed issues. On August 31, 2007, Plaintiffs counsel (hereinafter “Attorney”) submitted to the Court a letter brief (hereinafter “Aug. 3 Letter Br.”). On September 5, 2007, Defendant’s counsel submitted to the Court a letter brief (hereinafter…