Sorry, But the CEO’s Divorce is the Board’s Business

Overview


Michael Peregrine, as author of this bylined article, held that a board of directors “may have no choice” but to review executive conduct in personal matters such as divorce when they affect a company’s reputation. Although “it used to be the case that the CEO’s personal life was off-limits to corporate governance,” Mr. Peregrine wrote, “that old compact no longer applies. Boards more clearly recognize the need to take action with respect to CEO conduct that can negatively affect the corporate reputation, its operations and its productivity.”