Executive Capacity Law and Legal Definition
The term "executive capacity" means “an assignment within an organization in which the employee primarily--
(i) directs the management of the organization or a major component or function of the organization;
(ii) establishes the goals and policies of the organization, component, or function;
(iii) exercises wide latitude in discretionary decision-making; and
(iv) receives only general supervision or direction from higher level executives, the board of directors, or stockholders of the organization.” (8 USCS § 1101)
