Bodner, Welsh comment on Disney directors' liability
In the latest edition of Insights, partner Randall Bodner and associate Peter Welsh, attorneys at Ropes & Gray, examine the issue of whether directors at Disney have breached their fiduciary duty to Disney shareholders. As the article notes, the Delaware Chancery Court found that the Disney directors did not breach their fiduciary duties and did not commit corporate waste in connection with their decisions to hire and then terminate Michael Ovitz. However, the court observed that the Disney board's practices were not state-of-the-art and offered some lessons for directors today.