PT  - JOURNAL ARTICLE
AU  - James B. Shein
TI  - Trying to Match SOX
AID  - 10.3905/jpe.2005.490413
DP  - 2005 Feb 28
TA  - The Journal of Private Equity
PG  - 20--27
VI  - 8
IP  - 2
4099  - https://pm-research.com/content/8/2/20.short
4100  - https://pm-research.com/content/8/2/20.full
AB  - Directors of public and private companies face increased scrutiny and potential attacks on several fronts. Those include 1) government enforcers and plaintiffs taking directors' personal assets; 2) governance reforms enacted at the state and federal level; 3) court rulings which strip directors of the attorney-client privilege; 4) attacks against the safe harbor of the business judgment rule; and 5) insurers trying to rescind directors' insurance policies. Directors can take steps to protect themselves while still meeting the higher standards. These include hiring independent counsel for non-management directors, restructuring the D&O insurance program, and taking particular actions if the company winds up in bankruptcy.