April 26, 2011
Say-on-Pay: The Vote May Be Non-Binding But It May Wind Up in Court
– Broc Romanek, CompensationStandards.com
Probably the most interesting development that happened while I was on vaca last week was the one noted by Mike Melbinger in his blog. Mike blogged about how some of the first companies to fail to receive majority support on their SOP have been sued (as well as their compensation committee members and even their compensation consultants) in shareholder derivative suits. Not only have the early failures of this proxy season been sued, but two of the companies that failed last year were sued (one case has been settled and one is still pending). We have begun to collect the pleadings from these cases for our “Say-on-Pay” Practice Area.
With the ante continuing to go up, take advantage of the early bird discount now for our pair of conferences – “The Say-on-Pay Workshop: 8th Annual Executive Compensation Conference” and the “6th Annual Proxy Disclosure Conference” (here’s the agendas) – which will be held on November 1st-2nd in San Francisco and via video webcast. Register now to obtain a 25% Early Bird Discount!