That generally makes me more inclined to invest as I find that the biggest problem with a lot of public companies is they manage to Wall Street which means putting the short term over the long term, and those are often at odds with each other.
There's a good reason public shareholders historically demanded accountability - maybe it's fine for now, but all it takes is some management that you can't kick out, paying themselves extortionate salaries and driving the company into the ground at the same time to recognise the problems with "owning" a company you have no right to actually control (via replacing management and so on)
A board of directors can screw shareholders even without one controlling director.
The protections for minority shareholder are seperate.
Also the news of malpractice by directors like you mention leads to SEC investigations and stocks come crashing down before they can sell it (as they must declare their stock sales a few days before doing it)
It's going to be a lot harder to protect your rights, especially around the margins, if you agree to terms like the above.
It makes sense, you're disposing of the capital the shareholders own.
Dodge v. Ford Motor Co. was a civil case, not a criminal case. And it was in the Michigan Supreme Court so has no standing in the other 49 states.
And in practice the "business judgement rule" makes it very easy for businesses to do whatever they want as long as they have a vaguely plausible explanation for how it helps the business as a whole. ("We need to buy a private jet for our CEO because he is integral to our growth and success.")
The most efficient government is a benevolent dictatorship, the problem, of course is that benevolent dictators don’t live forever and sooner or later you get a non-benevolent one.
These sorts of dual class share structures avoid that issue by generally becoming common stock on transfer so it turns into a democracy with the end of the dictator.
With an IPO you at least got to spend several years seeing how the dictator did.
It does, however, hurt the Wall Street investors. If they have enough power to do so, they will replace the CEO if a share price is too low for too long.
That’s what creates the short term incentive that is a trouble and a lot of public companies. If the CEO has control of the voting shares, that pressure is relieved.