Pennsylvania Record

Tuesday, November 12, 2019

Dick's Sporting Goods claims former chief tech officer owes it half of his $1.5 million sign-on bonus

Federal Court

By Marian Johns | Oct 21, 2019

Dicks

PITTSBURGH – The former Chief Technology Officer for Coraopolis-based Dick's Sporting Goods is facing a lawsuit alleging he owes the company half of the $1.5 million sign-on bonus he received due to his resigning less than two years after being hired.

According to the Oct. 8 filing in the U.S. District Court for the Western District of Pennsylvania, Dick's Sporting Goods Inc., filed a suit against Paul Gaffney claiming breach of contract. 

Gaffney was hired by Dick's Sporting Goods in November of 2017 to serve as EVP-Chief Technology Officer and signed a sign-on bonus repayment acknowledgement form, according to the suit. The plaintiff alleges the agreement included Gaffney refunding 100 percent of his $1.5 million sign-on bonus if he left Dick's Sporting Goods within a year after being hired and also outlined a 50 percent refund to the company if Gaffney left within two years.

The suit states Gaffney resigned from the company Sept. 6.

"Under the terms of the sign-on bonus agreement, Gaffney is required to repay Dick’s Sporting Goods 50 percent of the costs the company incurred by paying Gaffney a sign-on bonus," the complaint states. "... Gaffney has refused to pay Dick’s Sporting Goods $750,000, which refusal constitutes a breach of the sign-on bonus agreement."

Dick's Sporting Goods seeks the $750,000 and prejudgment interest. The plaintiff is represented by Andrew Fletcher and Shawna English of Blank Rome LLP in Pittsburgh.

U.S. District Court for the Western District of Pennsylvania case number 2:19-cv-01285

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