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Corporations Keyed to Rhee
Seinfeld v. Verizon Communications, Inc.
Citation:909 A.2d 117 (Del. 2006)
Seinfeld’s stated purpose for seeking Verizon’s books and records was to investigate mismanagement and corporate waste regarding the executive compensations of Ivan Seidenberg, Lawrence Babbio, and Charles Lee. Seinfeld alleges that the three executives were all performing in the same job and were paid amounts, including stock options, above the compensation provided for in their employment contracts. Seinfeld’s claim for inspection is further premised on various computations he performed which indicate that the three executives’ compensation totaled $205 million over three years and was, therefore, excessive, given their responsibilities to the corporation.
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