Court Promises Prompt Ruling On Suit Over Disney CEO Search
By PEG BRICKLEY
DOW JONES NEWSWIRES
June 2, 2005
WILMINGTON, Del. -- A Delaware judge said Wednesday he would rule quickly on Walt Disney Co.'s bid to end a new suit over its chief executive search process.
Chancellor William Chandler spoke at the conclusion of arguments on the motion to dismiss the case filed May 9 by dissident Disney shareholders Stanley Gold and Roy E. Disney.
Messrs. Gold and Disney say they were "tricked" out of their chance to put up their own slate of candidates and run a proxy contest for control of the company by assurances that the board would not simply "rubber-stamp" departing Chief Executive Michael Eisner's choice of a successor, Robert Iger.
The board named Mr. Iger to succeed Mr. Eisner, who is stepping down in September, after a search process that Messrs. Gold and Disney say was a sham.
Attorneys for the company's independent directors said Wednesday that they made no false promises to shareholders in connection with the hunt for a new top executive.
Mr. Chandler is also expected to rule this year on another lawsuit involving Messrs. Eisner and Disney's board, one brought by shareholders who say the company's leaders abdicated their responsibilities to act with care in hiring Michael Ovitz as president for a brief time in the 1990s.
Write to Peg Brickley at peg.brickley@dowjones.com
By PEG BRICKLEY
DOW JONES NEWSWIRES
June 2, 2005
WILMINGTON, Del. -- A Delaware judge said Wednesday he would rule quickly on Walt Disney Co.'s bid to end a new suit over its chief executive search process.
Chancellor William Chandler spoke at the conclusion of arguments on the motion to dismiss the case filed May 9 by dissident Disney shareholders Stanley Gold and Roy E. Disney.
Messrs. Gold and Disney say they were "tricked" out of their chance to put up their own slate of candidates and run a proxy contest for control of the company by assurances that the board would not simply "rubber-stamp" departing Chief Executive Michael Eisner's choice of a successor, Robert Iger.
The board named Mr. Iger to succeed Mr. Eisner, who is stepping down in September, after a search process that Messrs. Gold and Disney say was a sham.
Attorneys for the company's independent directors said Wednesday that they made no false promises to shareholders in connection with the hunt for a new top executive.
Mr. Chandler is also expected to rule this year on another lawsuit involving Messrs. Eisner and Disney's board, one brought by shareholders who say the company's leaders abdicated their responsibilities to act with care in hiring Michael Ovitz as president for a brief time in the 1990s.
Write to Peg Brickley at peg.brickley@dowjones.com