Co-founder Fired for Breaking Work-from-Home Rules He Helped Create

William Nieporte, a co-founder of an $8 billion asset management firm, was fired for allegedly breaking strict work-from-home rules he helped create.

Nieporte, 57, ran Bramshill Investments with high school friends Art DeGaetano and Stephen Selver for nearly a decade before their ouster in 2022.

The termination letter obtained by the Wall Street Journal claimed Nieporte willfully failed to report to in-person work as required.

Just months prior, the three owners ordered all at-will employees to return to one of three US offices five days a week.

Nieporte argues in a federal lawsuit that this mandate did not apply to him as a co-owner.

He contends DeGaetano and Selver used the policy as an excuse to push him out and seize his 12 percent stake.

The operating agreement for the parent company, Ironmen, requires shareholders to sell their interest if fired for cause.

Nieporte alleges human resources partner ADP Total Source helped make the ousting look legitimate by sending the termination letter.

He and DeGaetano founded the firm in 2012, with Selver joining the board as chief executive two years later.

Selver took a 40 percent stake, while DeGaetano held 48 percent as chief investment officer.

Nieporte, serving as chief operating and compliance officer, held the remaining 12 percent.

For five years, the trio worked without issue, allowing Nieporte to move from New Jersey to California in 2017.

Problems arose as the company grew during the pandemic, expanding assets under management from $3 billion to over $4.5 billion by 2022.

In 2021, DeGaetano and Selver argued Nieporte's wife's divorce efforts triggered a clause stripping him of management rights.

Nieporte's lawyers state that starting divorce proceedings does not automatically trigger this clause, nor did his wife gain legal title to his interests.

Despite this, Nieporte received a letter on April 26, 2021, informing him his membership interests were being addressed.

Bill Nieporte lost his board status when his shares automatically became non-voting Membership Interests following a divorce. His active board membership was immediately suspended under these new conditions. His ex-partners, Art Selver and Stephen DeGaetano, instructed him to report to their Newport Beach office in southern California.

Tensions rose the next year when the three partners ordered staff back to a single firm location starting in April. They issued a strict deadline of July 5 for employees to return to offices in New York, Naples, or Newport Beach. Approximately half of the workforce received additional flexibility to meet this requirement. A memo signed by Nieporte, DeGaetano, and Selver stated that all staff were at-will employees. It warned that refusing the mandate would result in severance packages.

Nieporte never believed this mandate applied to him as a co-owner rather than an at-will employee. The lawsuit notes that neither Art nor Stephen suggested the policy covered him during earlier discussions. Bill made clear he approved the policy only regarding regular employees. Soon after, Selver and DeGaetano demanded he relocate from the San Francisco Bay Area to southern California.

After the deadline passed, DeGaetano wrote to Nieporte claiming the policy did not exclude him despite long commutes for other staff. He gave Nieporte just 30 days to avoid further action. Nieporte claims the notice was never properly delivered via fax, hand delivery, courier, or certified mail. He later met with DeGaetano to discuss a buyout deal. Following this meeting, DeGaetano allegedly emailed that all pending actions would be put on hold.

Just days after that meeting, Nieporte was fired according to the complaint. The human resources firm Bramshill partnered with ADP Total Source to process the ouster. Nieporte argues ADP helped make the termination appear legitimate despite knowing his rights derived from operating agreements. He alleges ADP representatives advised the owners on how to fire him and blessed their conduct. The lawsuit states ADP provided the official termination notice needed to mask an unlawful breach of fiduciary duty.

Nieporte claims Selver and DeGaetano stopped paying his profit shares and converted his interest in Bramshill. He now works remotely from Nevada for a startup company. He seeks at least $30 million in lost earnings, profits, and the value of his 12 percent stake. He also requests to be renamed the company's chief compliance officer. Allyce Hackmann, a spokeswoman for ADP, told the Wall Street Journal the company would defend itself. She noted that automated letters generate when clients enter separation decisions into the software.

A Bramshill representative stated Nieporte's claims rely on fabricated accusations. They expect the legal process to affirm no wrongful conduct occurred by the firm or co-owners. The representative said Nieporte was terminated for dereliction of duty and is not entitled to his requested money. His attorney Matthew J Press argued that failing to return to the office does not justify termination under the operating agreement. The Daily Mail has contacted both ADP and Bramshill Investments for further comment.