McCann Sues BofA, in Talks with UBS

Robert McCann, the former head of wealth management at Merrill Lynch & Co., sued Bank of America Corp. (BofA) in a dispute over his non-compete clause, according to news reports.

McCann exited Merrill Lynch days after the January 1 merger with Bank of America. He was to head the combined financial adviser organization (see “McCann Exits Merrill after Bank of America Takeover”).

In a lawsuit filed in New York state court, McCann said he resigned from Bank of America with “good reason,” entitling him to join another firm after six months of paid leave, according to Reuters. McCann claimed his role was substantially diminished and his bonus reduced.

Bank of America contended that McCann ended his contract without cause, and therefore must wait a year before working at a rival, according to Reuters.

News reports said UBS AG has been in talks with McCann about running its wealth management business in the Americas.

The case is McCann v. Bank of America Corp, New York State Supreme Court, No. 602628/2009.


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