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Just because the risk of getting successfully sued for making decisions against the interests of shareholders is low, it doesn't mean that it won't influence ex
by armada651 1y ago
Just because the risk of getting successfully sued for making decisions against the interests of shareholders is low, it doesn't mean that it won't influence executive decision making. CEOs want to avoid legal risks above all else and thus the laws around fiduciary duty can have a chilling effect even if judges generally go along with the CEO's interpretation of what is in the interest of shareholders.
- jaredklewis 1y agoIt’s not low, it’s zero. There are literally no successful cases ever except the buyout scenario already mentioned. Find me a serious lawyer anywhere that says this is a legitimate concern.