Time to resolve voting

Author: | Published: 1 Jun 2009

Kyle Siskey
Staff writer

Speakers (L-R): Kyle Siskey, IFLR; Joseph Sorrentino, Steven Hall & Partners; John Wilcox, Sodali; David Lynn, Morrison & Foerster; James Fanto, Brooklyn Law School

For better or worse, regulatory proposals change the role shareholders play in board elections and actions, said panellists at an Executive Compensation roundtable hosted by Morrison & Foerster. Speakers debated the role shareholders should have after the economic crisis, given the US public outcry for more control over compensation and bonuses.

At the same time the panellists in New York were discussing potential legislation, SEC chairman Mary Schapiro was proposing rule changes that give shareholders the right to nominate board members before the proxy season. "No less than three times has the Commission considered the question of amending our proxy rules to address so-called proxy-access," said Schapiro. "The time has come to resolve this debate."

The amendment to rule 14a-11 will give certain shareholders...