Mark Zuckerberg and other members of Facebook Inc's board have been sued by a shareholder, on Monday, who claimed a policy letting them annually award directors more than $150 million of stock each if they choose is unreasonably generous, Reports, Reuters. Shareholder Ernesto Espinoza said in a lawsuit filed in Delaware Chancery Court that the board of Facebook paid non-employee directors an average of $461,000 last year in stock, which was 43 percent more than industry peers.

The current compensation program sets the yearly limit on the pay of directors to 2.5 million shares. The complaint said that Peter Thiel, who is now worth $2.6 billion, received $387,874 in stock awards last year for being on Facebook's board.

Sheryl Sandberg, Facebook's chief operating officer and a member of the board, received $16.1 million in total compensation in 2013, added the suit. "The lawsuit is without merit and we will defend ourselves vigorously," said Facebook spokeswoman Genevieve Grdina.

Espinoza said the board members are free to continue to award themselves any amount of compensation they choose into perpetuity. Espinoza is hoping that shareholders will be able to recover the excess compensation and that Facebook will place limits on grands to the board of directors.

The case is Espinoza v. Zuckerberg et al, Delaware Chancery Court, No. 9745.