News & Resources

Freedman Quoted in The Deal on Recent SEC Shareholder Initiatives

July 10, 2015

Andrew Freedman was quoted in an article by The Deal (subscription required) about recent pro-shareholder initiatives the Securities and Exchange Commission is currently researching and looking to implement. Freedman addresses client Marathon Partners’ rejection of a universal proxy ballot in the Shutterfly proxy contest stating that “If the board was truly interested in the good governance aspects of using a universal proxy card….why didn’t it propose this type of voting mechanism months ago?” The article also mentioned that the SEC is looking to mandate that companies provide specific explanations when directors remain on boards even after failing to receive the required vote for their election at an Annual Meeting. Freedman is in favor of this SEC initiative saying that “Boards will have added pressure to accept the resignations of unelected directors if the SEC requires more disclosure and ISS continues to give negative recommendations in these situations.”

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