Exclusive: Norwegian Cruise Line's Former CEO Was Removed Over Misconduct, Lawsuit Claims


Skift Take

There’s a lot to unpack in this lawsuit — and it’s pretty clear that Kevin Sheehan and Norwegian Cruise Line Holdings wish much less would have been included. When one former CEO sues another, it’s not going to be pretty.

When Kevin Sheehan abruptly stepped down as the CEO of Norwegian Cruise Line Holdings in early 2015, the announcement came without warning or explanation. And his surprise exit followed a series of big moves for the company: Norwegian went public in 2013, and then acquired the high-end Prestige Cruise Holdings in late 2014 for $3 billion. Frank Del Rio, who had overseen Prestige and planned to stay with the merged company through the end of 2015, instead took over as CEO. About the reason for Sheehan's surprise departure, he would only say: "It’s a matter of policy we don’t comment on personnel matters." But a lawsuit filed in Miami-Dade Circuit Court by Sheehan's predecessor at Norwegian, Colin Veitch, includes incendiary accusations about alleged impropriety that led to departure. The complaint — alleging breach of contract and libel — was filed in late November, but escaped media attention until now. Sheehan denied the claims in a response filed in January. A flurry of motions filed in recent weeks show the cruise company and Sheehan are eager to remove those allegations from the public record and track down the source of the information. According to the suit, Sheehan resigned after a monthlong investigation that re