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A Directors and Officers (D&O) insurance policy is designed to protect the directors and officers of a company from losses resulting from claims made against them in relation to the performance of...
New draft guidance on improving board effectiveness
The Institute of Chartered Secretaries and Administrators (ICSA) has published draft guidance on improving public company board effectiveness, as part of its review of the Higgs Review on Corporate Governance.
The...
The end of the corporate board?
It has always been possible to appoint a company as a director of another company incorporated and registered in England and Wales. The Companies Act 2006, however, heralded an end to the practice...
UK Corporate Governance Code – directors’ remuneration and re-election
Background
After an extensive consultation process, the Financial Reporting Council (FRC) has published the new UK Corporate Governance Code (Code). The Code applies to all companies with a premium...
Shareholder derivative actions – update
Background
A derivative action is an action brought by a shareholder on behalf of the company. Owing to the complexity of the previous law, very few derivative actions succeeded. When the Companies...
What has the Coalition government got in store for business?
Before the general election, I looked at what the three main political parties were proposing for corporate governance, takeovers, businesses and regulation. All the parties had clear-cut policies in these...
Director of corporate director not a de facto director
Background
A "de facto director" is a person who acts as if he is a director of a company and is treated as such by the company’s board but has not in fact been validly appointed. A de facto director...
Corporate governance – new European guidance issued for unlisted companies
The Institute of Directors has recently published guidance and principles on corporate governance for unlisted companies in the EU. The guidance and principles are an initiative of the European Confederation...
Bribery Bill – an update
See this link to my longer article on the forthcoming Bribery Act published in Director of Finance online.
The Bill has had its second reading in the Commons and goes into its committee stage tomorrow....
Kraft/Cadbury deal prompts calls for reform of takeover laws
The hostile takeover of the British chocolate maker, Cadbury plc (Cadbury) by US company, Kraft Foods Inc (Kraft) has been widely publicised, especially the initial resistance by Cadbury’s shareholders...