Essay About Similar Situation And Best Interests

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Synopsis: When the CEO receives a salary raise, it sends a signal to the rest of the business community about recent success. The reason I choose this article is because of our recent class time with the court case A.P. Smith V. Barlow (1953) where Ruth Barlow was upset with her investment money given to a charity. In a way this is a similar situation in that the Board of Directors who are supposed to have the stockholders best interests in mind made the decision to increase Judge’s CEO. I happen to own some shares of Paychex; not nearly the amount as some Paychex executives. However, in my opinion, I would rather see that money reinvested into the company. Although it is only $50,000 for a company whose 2005 revenues were $1.4 billion. Paychex is also a company whose stock price has not been very stable over the past year. Some might argue that the fluctuation