Curbing the “Golden Parachute” Under Dodd-Frank One attempt to curb incentive conflicts has been the “golden parachute” This device allows for pre-set compensation amounts if/when the manager leaves the corporation. The concept behind this device was that, because...
Section 951: Shareholder Vote on Executive Compensation Disclosures The other major executive compensation provision within the Act is Section 951: Shareholder Vote on Executive Compensation Disclosures. The major premise behind this is section is that no less...
Legislative Intent Behind Dodd-Frank Section 953 While, on its face, this section may seem to add be a noble measure of transparency to a corporate world filled with executive excess and greed, in actuality, this measure is misplaced and ineffective. That is to say,...
Disclosure for Disclosure’s Sake: Sections 951 & 953; Clear Disclosure, “Say on Pay” and “Say on Golden Parachutes” Among the numerous executive compensation provisions in the Dodd-Frank Act is a subset of provisions that are thematically correlated via the...
Hedging Disclosures for Employees and Directors Section 955 of the Dodd-Frank Act requires the SEC to adopt rules requiring companies to disclose in proxy statements for annual meetings whether any employee, director or designee may hedge ownership of the company’s...
Independence of Compensation Consultants and Other Compensation Committee Advisors Section 10C(b) of Dodd-Frank deals with the “Independence of Compensation Consultants and Other Compensation Committee Advisors”. A compensation committee may only select a...
