Corporate / Business Articles

Success is built on identifying a need and then meeting it. That is pretty much how the current CFO and Financial Executive Committee got its genesis. “When we started the current committee about four years ago, you couldn’t really call it a committee,” says co-Chair Ira Halperin, “It was more of a forum.”

A recent decision of Delaware Chancery Court (the “Court”) has left many corporations and directors wondering whether their current bylaws are sufficient and clear enough to address certain indemnification and advancement issues. Generally, directors are protected to a great extent under a corporation’s bylaws, especially with regard to indemnification.

On July 30, 2002, President Bush signed into law the Sarbanes Oxley Act of 2002 (“SOX”). Rule 404 of SOX requires public companies to annually provide investors with an assessment of the quality of their internal control over financial reporting. Accelerated filers, typically large public companies, were required to comply with the requirements of Rule 404 for its first fiscal year ending on or after November 15, 2004.