Phillip Rudolph, chief legal & risk officer of Jack in the Box Inc.Jack in the Box Chief Legal Officer to Depart As Part of Leadership Shake-Up
Executive vice president, chief legal and risk officer and corporate secretary Phillip Rudolph will be leaving his role at the San Diego-based company Feb. 28.
October 03, 2019 at 05:30 PM
3 minute read
The original version of this story was published on Corporate Counsel
The top lawyer and two other executives at the San Diego-based restaurant chain Jack in the Box Inc. will be leaving the company in 2020, as the company is in the middle of a lawsuit over its marketing efforts and after franchisees expressed a vote of no confidence in the CEO.
Executive vice president, chief legal and risk officer and corporate secretary Phillip Rudolph will be leaving his role at the company Feb. 28. Leonard Comma, CEO of Jack in the Box, said in the press release that the organization's leadership structure is evolving to support a single restaurant brand.
The press release announcing Rudolph's departure says that Rudolph's responsibilities, along with the other executives leaving the company in 2020, will be assumed by others in the organization. It is not clear if the company plans on hiring a full-time replacement for Rudolph. The company did not mention who will be assuming Rudolph's responsibilities when he leaves.
According to a filing with the Securities and Exchange Commission, Rudolph will be eligible for a lump-sum cash payment of $686,538. That figure represents 12 months base pay plus additional compensation based on years of service. In addition, the compensation committee approved a one-time cash payment of $50,000 to Rudolph and the other departing executives for their "significant contributions related to the strategic and financing alternatives process, specifically the completion of the privately placed business securitization transaction."
A spokesperson for the company did not respond to requests for additional comment Thursday. Rudolph could not be reached for comment Thursday.
According to his biography on the company website, Rudolph joined Jack in the Box in 2007 as general counsel and corporate secretary. In 2014, he was made chief legal and risk officer.
"Phil joined Jack in the Box Inc. 12 years ago with an impressive, well-rounded resume earned after years of experience in private practice and corporate law," Comma said in the press release. "In addition to his skilled stewardship of the company's legal and risk functions, Phil's commitment to ethics and corporate responsibility has strengthened the culture of integrity throughout the organization."
Executive vice president and chief of staff and strategy Mark Blankenship and senior vice president, controller and treasurer Paul Melancon are slated to leave the company Jan. 3.
The announcement of Rudolph's departure comes while the company faces litigation from Jack in the Box franchisees who have wanted to oust Comma. In December 2018, the independent National Jack in the Box Franchisee Association filed suit against the company. The franchisees are seeking a court injunction, which would allow them to audit the company's marketing fund, according to a report in Restaurant Business.
In October 2018, the franchisee association called on the company to replace Comma following a July 2018 vote of no confidence in the company's management.
Tabitha Burke, the executive director of the National Jack in the Box Franchisee Association, did not immediately respond to request for comment Thursday.
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