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Automattic has a new board after failed attempt to put CEO on leave

148 points · 194 comments · ilamont

  1. xnx · · focus · HN ↗
    Fireship pointed out that the board members gave themselves a generous severance package in the very brief interim, so that was very possibly the whole plan.
    1. kingstnap · · focus · HN ↗
      Bizzare self dealing.

      Vote out dude who has 84% shareholder control.

      Immediately sign yourself a golden parachute deal for 8 million right before getting fired the next day.

      Seems like complete breach of fiduciary duty.

      1. ImPostingOnHN · · focus · HN ↗
        A breach of fiduciary duty" describes Matt's behavior through all his escapades here. Minority shareholder rights are a thing, it just seems there are no minority shareholders willing enough to deal with Matt's nonsense to fight for it.

        If there is any litigation, it opens Matt up to liability for the same thing. Unfortunately, as we've seen, Matt is willing to self-destruct himself and the company if it would effect sufficient self-glorification for him.

        1. tptacek · · focus · HN ↗
          Minority shareholder rights do not generally include a right to remove officers of the company unilaterally.
          1. FireBeyond · · focus · HN ↗
            But you can advocate for it.
          2. jacquesm · · focus · HN ↗
            If there are enough of them it certainly does.

            All you need is a quorum at the next board meeting. In this case that would have never worked but in the general case it could definitely happen.

          3. ImPostingOnHN · · focus · HN ↗
            Minority shareholders rights generally include a right to fairness, transparency, and protection against abuse by majority shareholders, all of which were violated here.
            1. NetMageSCW · · focus · HN ↗
              What was the abuse?
          4. tremon · · focus · HN ↗
            Minority shareholders did no such thing. The board did that.
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