• The Dodd-Frank Wall Street Reform And Consumer Protection Act: A Summary Of Corporate Governance And Executive Compensation Provisions
  • August 26, 2010 | Author: Michael T. Campoli
  • Law Firm: Pryor Cashman LLP - New York Office
  • On July 21, 2010, President Obama signed into law The Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Act”). The Act, which affects almost every aspect of the U.S. financial services industry, will also have a profound impact on all public companies. This Legal Update highlights certain of the most significant changes that will affect the corporate governance, executive compensation and securities disclosure practices of public companies, including proxy access, shareholder voting on executive compensation, broker discretionary voting, compensation committee independence, compensation clawback policies, modifications to the “accredited investor” standard and the permanent exemption from complying with Section 404(b) of the Sarbanes-Oxley Act of 2002 for non-accelerated filers. Certain of these requirements will become effective immediately or in the near future, while others will require further action and rulemaking by the Securities and Exchange Commission (the “SEC”) and the national securities exchanges.