Wynn Resorts co-founder Steve Wynn will receive no compensation and has less than four months to vacate his personal residence at Wynn Las Vegas under the terms of his separation agreement, the company has revealed.
Details of the formal agreement between Wynn Resorts and its former Chairman were detailed in a filing to the US Securities and Exchange Commission during the Chinese New Year holiday, with Wynn set to pay a heavy price after stepping down from the board due to serious allegations of sexual misconduct.
“The Separation Agreement terminates Mr Wynn’s previous employment agreement with the company and confirms that Mr Wynn is not entitled to any severance payment or other compensation from the company under the employment agreement,” Wynn Resorts explained.
The agreement prevents Wynn from starting any competing companies for a period of two years and requires him to provide reasonable cooperation and assistance to the company relating to any private litigation or arbitration stemming from sexual misconduct allegations.
It also cuts off all means of financial support, with his current healthcare coverage to terminate on 31 December 2018 and administrative support terminating on 31 May 2018.
Even the potential sale of his 12% stake in Wynn Resorts is limited, with Wynn not to sell more than one third of his shares during any financial quarter.
However, it is likely that being kicked out of his home will be among the most painful clauses of the separation agreement, with Wynn Resorts stating, “Mr Wynn’s lease of his personal residence at Wynn Las Vegas will terminate no later than June 1, 2018.
“Until such date Mr Wynn shall continue to pay rent at the fair market value previously established by the company based on an independent third-party expert opinion, unless Mr Wynn elects to terminate the lease before such date.”
Wynn currently pays US$305,000 annually to rent the 6,233 square-foot suite, which overlooks The Wynn Golf Club. The residence was originally two separate villas, with Wynn having them renovated and reconfigured after moving in a decade ago.
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