From the Wall Street Journal–“Judge Rules in Disney’s Favor In Long-Running Ovitz Case.” The article reports that a “Delaware judge ruled that directors of Walt Disney Co. didn’t breach their fiduciary responsibility in the hiring or termination of Michael Ovitz, dealing a defeat to shareholder activists seeking greater accountability for corporate boards.” Excerpt:

The suit has been considered groundbreaking in the corporate-governance world in part because it proceeded as far as it did. Chancellor Chandler ruled in May 2003 that Disney shareholders could go ahead with the suit, concluding that the litigation raised legitimate questions as to whether Disney directors should be held personally liable for breaching their duty to consider Mr. Ovitz’s employment carefully. It was the first time the Delaware Chancery Court has threatened directors with personal liability for decisions involving ordinary business matters.

Broc Romanek has commments here.