In a 3-2 decision, the court yesterday dismissed four of the six charges brought by former New York Attorney General Eliot Spitzer.
Initially, Mr. Spitzer, now governor of New York, filed suit against Mr. Grasso in 2004, charging that the chairman’s $187.5 million pay package—which was accumulated between 1995 and 2003—violated state law.
Among the claims dismissed was the assertion that Mr. Grasso’s pay was not “commensurate with the services performed” and that it was “against public policy,” according to Bloomberg News.
As a result, lawyers representing the state will now have to prove that Mr. Grasso knew his pay was unreasonable.
Mr. Grasso has another case to contend with: Last year, a New York State Supreme Court ruling ordered him to return up to $100 million of his pay.
In that case, Mr. Spitzer argued that Mr. Grasso did not notify the NYSE’s board members of his rising pension benefits.
Mr. Grasso has already appealed that decision, saying that the board was aware of his pay, according to the New York Times.
