Bloomberg Law
Sept. 23, 2020, 4:37 PM

CEOs Notch Win as SEC Adds Hurdles for Shareholder Campaigns (1)

Ben Bain
Ben Bain
Bloomberg News

U.S. companies notched a big Trump-era win Wednesday as regulators made it harder for small-time shareholders to put forth proposals aimed at cracking down on excessive pay, climate change and other corporate governance concerns.

The Securities and Exchange Commission rules overhaul follows years of C-suite complaints that proxy regulations are outdated and play into the hands of dissident shareholders. But investor advocates, religious groups and proponents of what’s known as environmental, social and governance, or ESG, investing argue the changes are a gift to business lobbyists that will muzzle corporate critics.

At issue are the criteria that stockholders must meet ...

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