Directors' Duties under the New SEC Rules on Disclosure Enhancement
New SEC rules are making for a dramatic change in directors' duties. They require public companies to provide greater disclosure about compensation, risk oversight, and directors' experience and qualifications. The new rules also change the way non-cash awards are reported and the timetable for reporting shareholder votes. This report discusses the reform in detail and touches on its implications for boards of directors. Sample language and tips for preparation of public filings are included.