Alerts

Second Circuit Rules In Favor Of Shareholder Seeking To Use Corporate Proxy Statement To Nominate Slate Of Directors

September 15, 2006

A federal court has made it easier for activist investors to bring about corporate change. The U.S. Court of Appeals for the Second Circuit has ruled that a corporation cannot use Rule 14a-8 of the Securities Exchange Act of 1934 to exclude a shareholder proposal from company-distributed proxy materials where the proposal does not relate to a particular election.