August 18, 2022


Legal With Effect

Amazon’s Legal Chief Sold $19 Million in Stock Over Last Year Inc. standard counsel David Zapolsky noticed his whole compensation plunge 99% previous calendar year, in accordance to a proxy statement submitted Friday by the e-commerce huge.

The submitting —which landed on “April Fools’ Day”—is relatively misleading when it arrives to how substantially Zapolsky earned from his work at Amazon since the business frequently awards large stock grants to executives each two a long time. Securities disclosures display that inside the previous yr he’s sold off almost $19.4 million in firm inventory.

Amazon’s proxy puts Zapolsky’s 2021 pay out deal at $163,200, the bulk of which is comprised of his $160,000 foundation wage. That sum is a steep lessen from the almost $17.2 million that Zapolsky acquired from the Seattle-centered enterprise in 2020. The overwhelming part of that remuneration came from a $17 million inventory award presented to Zapolsky, who has been Amazon’s leading lawyer considering that 2012.

Amazon, which lately closed on its $8.5 billion acquisition of Beverly Hills, Calf.-centered movie studio Metro-Goldwyn-Mayer Inc., declined to focus on Zapolsky’s compensation. Zapolsky didn’t respond to a ask for for remark.

Amazon is in the midst of battling unionization endeavours by its personnel in its warehouses and achievement facilities. Labor activists secured a vital acquire Friday when New York warehouse employees voted to unionize, a very first for the company’s U.S. operations.

Zapolsky, a former Wachtell, Lipton, Rosen & Katz associate relocated from New York to Seattle in the mid-1990s and turned a associate at now-defunct Bogle & Gates and later on Dorsey & Whitney. In 1999, Amazon employed Zapolsky as its initial in-household litigator. Inside a dozen decades he was tapped to swap previous Perkins Coie companion L. Michelle Wilson as Amazon’s legal chief.

Zapolsky presently owns virtually $10.6 million in Amazon stock, according to Bloomberg knowledge. Proxy statements submitted by the organization in excess of the previous 10 years exhibit that limited inventory models granted to senior Amazon executives vest about subsequent yrs. The stock that Zapolsky bought off was awarded to him in prior years.

“Because our payment plan is built to reward extended-phrase general performance and function over lots of many years, named govt officers typically do not obtain periodic inventory-based mostly awards just about every year,” Amazon states in its proxy.

The document notes that Amazon does not “tie funds or equity payment to a person or a number of discrete overall performance objectives.”

Amazon founder and govt chair Jeff Bezos, a billionaire who stepped down last yr as the company’s CEO, gained nearly $1.7 million in total payment previous yr, according to the proxy. Bezos’ successor, Andrew Jassy, experienced a shell out bundle valued at far more than $212.7 million, a sum generally designed up of a substantial inventory award.

Amazon’s board incorporates Jamie Gorelick, the Washington-primarily based chair of Wilmer Cutler Pickering Hale and Dorr’s regulatory and authorities affairs department and co-chair of the legislation firm’s disaster administration and strategic reaction team. Gorelick owns pretty much $19.5 million in Amazon inventory, according to Bloomberg data.