Ex-McDonald’s CEO Should Have Paid More in Settlement, Funds Say

Some McDonald’s Corp. investors told a judge the company didn’t get nearly enough money from former Chief Executive Officer Steve Easterbrook when he agreed to return $105 million to settle claims he was sexually involved with subordinates.

Three pension funds tied to the Teamsters’ union holding McDonald’s shares urged Delaware Chancery Court Judge Travis Laster to allow them to proceed with a lawsuit, which seeks financial penalties on directors for allegedly failing to properly oversee Easterbrook. Laster said he’d rule later.

“Mr. Easterbrook became a rich man at McDonald’s despite his conduct,” Maxwell Huffman, a lawyer for the funds, ...