HP Board Said to Turn Against Hurd After Settlement

Hewlett-Packard Co.’s Mark Hurd surprised the board by settling a sexual-harassment claim before directors could learn more about the incident, a final breach of trust that contributed to his ouster as chief executive officer, two people familiar with the decision said.

Hurd, who stepped down on Aug. 6, was scheduled to join a mediation session the previous day to deal with the harassment claim, the people said. Instead, Hurd settled the complaint and the meeting never happened, they said. The board’s trust in Hurd also was undermined after a probe found he tried to conceal a relationship with his accuser, a former actress named Jodie Fisher who worked for HP as an event organizer, said the people, who asked not to be named because the information is private.