By: Louann Fang Richard, Brent L. Bernell, Andrew D. Ledbetter, Eric Forni, Rita M. Patel, Keith Ranta, Bryan Card
The Securities and Exchange Commission (SEC) has approved, by a 3-2 vote, final rules that require publicly traded companies to adopt policies regarding recovery of erroneously awarded incentive-based compensation, or “clawback” policies. The SEC initially proposed clawback rules in July 2015, but the rules have been pending finalization until the SEC reopened the comment period in October 2021 and again in … Read the rest