A similar (but even more complicated) case is currently going on over at Sculptor Capital Management, where former management is suing current management because they have chosen to go with a "worse" acquisition deal that would let current management stay on-board. This is despite shareholder approval to the "worse" deal. https://www.pionline.com/hedge-funds/ex-sculptor-executives-...
In fact, to prevent this situation is exactly why golden parachutes exist.
It's also totally unproportional compared to what Sam would've gotten if he owned equity.