• Toronto Stock Exchange Announces Amendments to Director Voting Requirements
  • February 18, 2014 | Authors: Jonathan Feldman; Neill May
  • Law Firm: Goodmans LLP - Toronto - Toronto Office
  • The Toronto Stock Exchange ("TSX") has adopted amendments to its director voting requirements. Currently, issuers are required to disclose annually in proxy circulars (i) if they had adopted a majority voting policy (a “Policy”) for directors for uncontested meetings and (ii) if not, to explain their practices for electing directors and why they had not adopted a Policy. (For a description of the current requirements, see our July 11, 2013 update, Toronto Stock Exchange Provides Guidance on Director Election Requirements). The amendments will require listed issuers to adopt a Policy requiring each director of a listed issuer who does not receive a majority (50% + 1) of the votes cast with respect to his or her election, to tender his or her resignation. These rules do not apply in relation to contested meetings.