Tyson Family Pays $4.5M to Settle Suit
January 18, 2008
According to the Associated Press, the former chairman and chief executive of Tyson Foods Inc. and a family-led group that holds a controlling stake in the meat processor recently agreed to pay the company $4.5 million to settle a shareholder lawsuit.
The world''s largest meat processor announced the settlement agreement by Don Tyson and the Tyson Limited Partnership in a news release.
The Tyson Limited Partnership primarily includes members of the Tyson family. Some of the general partners include non-family members.
The company said it also agreed to new corporate governance measures.
Tyson Foods said the agreement must still be approved by the Delaware Court of Chancery, where the lawsuit has been pending since 2005.
The company said the lawsuit involved claims that the company breached its fiduciary duties involving certain consulting contracts for Don Tyson in 2001 and 2004 and certain stock option grants among other things.