Corporate Governance and Delaware Chief Justice Steele: The Delaware Courts and the Board of Directors

We are discussing the recent interview with Myron Steele, the Chief Justice of the Delaware Supreme Court.  The interview be found here.

How do you respond to criticisms that the Delaware courts are not tough enough on boards or executives of failed or broken companies?

Chief Justice Steele: Our examination continues to be contextual, to the consternation of some people who want the magic bullet immediately. It is after the fact, but that is the nature of common law . We don't like prescriptive rules because we think the unintended consequences can be more damaging . . . .Delaware is trying, on a case by case basis, to search for the right way, over time, thoughtfully to change standards of corporate governance for the better. We are not trying to impose the flavour of the month.