Our recent Client Alert discusses the June 27 decision issued by Vice Chancellor Lori Will of the Delaware Court of Chancery addressing the obligations of the board of directors of The Walt Disney Company (Disney) in overseeing Disney’s response to Governor Ron DeSantis and the “Don’t Say Gay” bill, or HB 1557. In particular, the court rejected a books and records demand by a Disney stockholder seeking to investigate wrongdoing on the basis that the Disney board had breached its fiduciary duties by placing its own personal beliefs ahead of the interests of the corporation and its stockholders and taking positions that impaired the company’s value. The decision affirms the wide latitude that boards have under Delaware law in setting strategy and advancing the value of the corporation for stockholders and provides valuable guidance to boards in navigating environmental, social, and governance issues and controversies. The decision also reflects the value of boards acting in an engaged and deliberative manner, with good board minutes, and responding wisely to stockholder demands.