SEC Proposes Amendments to Require Use of Universal Proxy Cards in Contested Elections
On October 26, 2016, the Securities and Exchange Commission ("SEC") proposed amendments to the federal proxy rules that would require each soliciting party in a contested election to distribute a universal proxy card that would include the names of all director nominees (i.e., both management and dissident director nominees). The SEC also proposed amendments to the form of proxy and proxy statement disclosure requirements relating to the disclosure of applicable voting options and voting standards in all director elections.
The SEC has set a 60-day comment period in connection with its proposed rule amendments.