The Conglomerate blog talks about an article by Prof. Telman that discusses the Business Judgment Rule in the context of executive compensation decisions by the Board. Here is a quote from the abstract:
“The Article … illustrates why the Rule should not apply in cases involving challenges to board decisions relating to executive compensation through a detailed discussion of the on-going litigation relating to the hiring and dismissal of the Walt Disney Company’s former President, Michael Ovitz.” Other commentary and a link to the article are available on the Conglomerate blog. Here is the link:
Conglomerate Blog: Business, Law, Economics & Society