Xerox Says CEO Had Authority on Fujifilm Deal Talks

Investor Darwin Deason and Carl Icahn, Xerox’s biggest shareholder, want to block the complicated Fujifilm deal and overthrow the Xerox board

Xerox Corp. defended its chief executive against accusations from one of its biggest investors Thursday, saying Jeff Jacobson had proper board authority to negotiate a deal with Fujifilm Holdings Inc., as the sides continued to brawl over the transaction.

Billionaire Xerox shareholder Darwin Deason has alleged in a lawsuit that Mr. Jacobson was seeking to save his own job in rushing to complete a deal with Fujifilm in January. The civil suit, filed in New York City in March and amended on Sunday, cites documents and board...