What is the best way to deal with an a$$hole boss?

I just got a new boss. Several years ago we were working for different segments of the company. We had a major difference in opinion which resulted in this guy calling me and belittling me over the phone. This in turn got him in trouble with his boss, who required him to call and apologize to me. Now, it’s a problem. He is, in a word, a controlling tyrant. Okay that is two word, but you get the idea. Any ideas?