More details of the suit filed against an ex-portfolio manager on August 21 are coming to list.

The complaint, a copy of which was obtained by The MFWire, was filed by Ed Keely, who managed institutional separate accounts for the company, alleges breach of contract by Janus CEO Gary Black and seeks damages and back payments in the amount of $3.8 million, plus any extras deemed equitable.

A Janus spokesperson declined to comment.

The suit alleges breach of contract due to an unauthorized pay cut. It describes a two-hour meeting on October 30 in which Black told portfolio managers that they would be receiving a "unilateral pay cut" that would be put into effect in the October 31 paycheck.

Keely alleges that at that meeting, Black "acknowledged to everyone in the room that the changes Janus planned to implement would violate the Contracts."

Material to the case is the the cause of Keely's termination. He contends that the violation of his contract gave him "Good Reason" to leave the company. He says he gave Janus the required 60 days to remedy his situation, but no relief was forthcoming.

Janus has yet to respond to the complaint, which seeks a jury trial.

Glen Summers, Keely's lawyer, told the MFWire that all documents listed in the suit are currently sealed by the court. Summers says he has petitioned the court to make the document available to the public.  

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE