Prof. McDonnell Quoted in Fox Business/Reuters Article on Proxy Access
Professor Brett McDonnell was quoted in a recent Fox Business/Reuters article on the SEC's adoption of a new shareholder proxy access rule. Under the new rule, shareholders who hold enough shares can nominate candidates for the board of directors using the corporation's own proxy statement, a much cheaper process for shareholders than creating their own proxy solicitation. The new rule has generated much controversy, and faces likely legal challenges. The article quotes McDonnell on what a court might do. "As it stands, the law appears internally contradictory," he said. "You could perhaps fix the problem by allowing shareholders to opt out of the rule in any direction they choose. Much of the law would still be valid."