Yes, shareholder lawsuits are common. But it's the company that pays, not directors.

HP actually paid $100 million in such a lawsuit for the Apotheker/Autonomy flop:

http://www.reuters.com/article/us-hp-classaction-pggm/hp-pay...

The 2010 Board of Directors who created and permitted the $8.8 billion loss paid nothing. They kept their compensation, and most stayed on the board.