Majority Voting Update, Shareholder Democracy, and How Boards Should Respond to Hedge Funds and Activist Shareholders
08 March 2007
The movement toward adoption of a majority voting standard for directors is fully underway, with more and more companies adopting some form of majority voting policy or bylaw amendment. Some believe that even those companies who have not yet been targeted by activist shareholders should act now to adopt a majority vote bylaw, while others contend that it is most prudent to wait for a shareholder to submit a specific proposal. Despite increased shareholder activism and the rise of hedge funds, companies should avoid taking knee-jerk reactions, such as going private, when considering alternatives to dealing with shareholder pressures.
Related Insights
18 February 2025
DEA Delays Final Buprenorphine Rule
The Department of Health and Human Services and the Drug Enforcement Administration have delayed the effective date of the final rule regarding telemedicine prescribing of buprenorphine to March 21, 2025, and have requested public comments on the rule.
17 February 2025
Foley Viewpoints
6 Steps to Manage Tariff Risks in a Trade War
As Trump seeks to raise U.S. tariffs (which currently tend to be among the lowest worldwide), manufacturers, distributors, retailers, and other companies that frequently import must determine the best strategy to deal with the resulting uncertainties.
25 February 2025
Events
Navigating Tariffs and Supply Chain Contracts: Mitigating Financial and Legal Risks
Join Foley and Lardner LLP partners Greg Husisian, Leah Imbrogno, and Vanessa Miller on Tuesday, February 25, for a Strafford CLE webinar, “Navigating Tariffs and Supply Chain Contracts: Mitigating Financial and Legal Risks.”