Certainly you can't begrudge a man for changing his mind and ... wait, sure you can begrudge him. If I was the Orlando Magic, I would be livid. Certainly the Magic came out okay getting Stan Van Gundy ... or was it Jeff Van Gundy or Van Van Gundy?
Donovan couldn't have known that the Magic had a backup candidate like Whichever Van Gundy willing to be leftovers. When Donovan backed out, he ruined the chances of the Magic going after another big name. Say they had a pie-in-the-sky plan to go after Larry Brown or Tom Izzo or someone like that. You think a big-timer like one of those guys is going to be someone's second choice? Furthermore, when the contract details came out, it was like the Magic announcing to the world, "Here's what we're willing to pay for a coach.'' You realize how hard it might have been to bring in someone else at a lesser salary?
When Donovan, who obviously should've taken a few more days to think about the Magic's offer before accepting the job (and I'm guessing the Magic DID NOT give him a deadline), walked away, the Magic was stuck. Whomever they approached next, it was like they were saying, "You're not our first choice and we don't think enough of you to pay you what we were willing to pay Billy Donovan and the fans are going to be disappointed, but whattaya say, want to be our head coach?''
In the end, Billy Donovan was temporarily embarrassed. But the Magic might have been permanently damaged.