June 20, 2003

Although the facts of the

Although the facts of the recent Disney opinion from Delaware Chancellor Chandler were “easy” perhaps, they follow a number of public speeches and articles from the Delaware judiciary about the need for directors to make executive compensation more carefully. We expect compensation consultants and lawyers to provide new guidance on how compensation packages should be structured – and the first law firm memos drafted in the wake of the Disney opinion bear that out.

As usual, we will post these memos under “Latest Developments” under – as well as under “Sarbanes-Oxley Law Firm Memos – Executive Compensation” on For subscribers, a copy of the Disney opinion is available at