HP Execs Hit With Derivative Suit Over CEO Departure

Law360, New York (August 12, 2010, 6:43 PM EDT) -- Hewlett-Packard Co. shareholders have lodged a derivative suit against the company's executives, former executives and corporate governance committees, saying they breached fiduciary duty by mismanaging the messy departure of former CEO Mark Hurd following a sexual harassment scandal.

The board's failure to disclose the investigation to shareholders, as well as its attempt to unlawfully gift Hurd millions of dollars in severance benefits, caused a 10 percent drop in the company's stock value, according to a complaint lodged Thursday in the the Superior Court of the State...
To view the full article, register now.