Market Basket board was justified in firing "imperious" CEO Arthur T. Demoulas, judge rules
CBS News • • business
Key Points:
- A Delaware judge ruled that the Market Basket Board of Directors was justified in firing longtime CEO Arthur T. Demoulas, rejecting his claims that his sisters, who control the board, acted out of greed and envy.
- The board suspended Demoulas in May 2025 amid credible allegations he planned a work stoppage, fearing a repeat of the 2014 boycott that occurred after his prior firing.
- The ruling highlighted ongoing family conflicts, noting Demoulas' resistance to board oversight and a toxic boardroom environment, which the board believed threatened the company.
- Don Mulligan, Market Basket's CFO for 26 years, was named interim CEO, and the board reaffirmed the company would remain family-owned, focusing on low prices, good jobs, and community support.
- Demoulas' spokesperson emphasized his lifelong dedication to Market Basket's success and acknowledged the legal challenges given the deference courts give to boards of directors.
