Stock Tips: Inside The New Exchange Listing Standards
June 13, 2013, 11:27 AM EDT
Law360, New York (June 13, 2013, 11:27 AM EDT) -- In theory, a company could be delisted from a national stock exchange as a result of a chance meeting anywhere and a casual conversation, if a compensation committee member receives from company counsel any legal advice regarding company compensation. Beginning on July 1, 2013, the listing standards of national securities exchanges and national securities associations mandated by Section 952 of the Dodd-Frank Act becomes effective.
Under these standards, compensation committees of issuers listed on national securities exchanges are required to consider specified independence factors prior to...