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Stockholder sues Lithia Motors, citing former CEO’s $1M annual pay

Marty A. Jessos filed a lawsuit against the Medford auto dealer, ordering Lithia to stop paying former CEO and retired executive chairman Sidney DeBoer $1 million a year.

Marty A. Jessos' lawsuit states that former CEO and retired Executive Chairman Sidney DeBoer "performs no ongoing services to the Company as either executive officer or director to justify this payment." The suit chalks up the payments by the Medford-based company as "excessive" and a "waste of corporate assets."

Lithia Motors is the seventh-largest auto retailer in the country, with 140 stores.

Jessos' lawsuit touches on a frequent frustration over the compensation paid to the leaders of American companies. Although such lawsuits may not be often seen in Oregon, nationwide they are quite common, industry watchers say.

(READ MORE: Oregon Live)

Oregon Live posted the lawsuit here.

Last modified onFriday, 26 February 2016 14:44
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