True Or False? Golden Parachutes Benefit Shareholders

Golden parachute arrangements are often included in discussions of anti-takeover devices.  For example, the late Harold Marsh, Jr. in his magnum opus, Marsh’s California Corporation Law, discusses golden parachutes in a section entitled “Defenses of Control”.  Can it be that golden parachutes actually have the opposite effect?  A recent study by Professor Eliezer Fich, Ahn Tran, and Ralph Walkling