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Program on Corporate Governance Advisory Board
- Peter Atkins
- David Bell
- Kerry E. Berchem
- Richard Brand
- Daniel Burch
- Paul Choi
- Jesse Cohn
- Arthur B. Crozier Christine Davine
- Renata J. Ferrari
- Andrew Freedman
- Ray Garcia
- Byron Georgiou
- Joseph Hall
- Jason M. Halper William P. Mills
- David Millstone
- Theodore Mirvis
- Philip Richter
- Elina Tetelbaum
- Sebastian Tiller
- Marc Trevino Jonathan Watkins
- Steven J. Williams
HLS Faculty & Senior Fellows
Author Archives: Harvard Law School Forum on Corporate Governance and Financial Regulation
The Fall of the Toxic-Assets Plan
Editor’s Note: This post is based on an op-ed piece by Lucian Bebchuk published today on Wall Street Journal online. The plan for buying troubled assets — which was earlier announced as the central element of the administration’s financial stability plan — has been recently curtailed drastically. The Treasury and the FDIC have attributed this […]
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Posted in Financial Crisis, Financial Regulation, Op-Eds & Opinions
Tagged FDIC, Toxic assets, Treasury Department
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Management Persuasion Tactics
In our paper, Concede or Deny: Do Management Persuasion Tactics Affect Auditor Evaluation of Internal Control Deviations?, which was recently accepted for publication in the Accounting Review, we study when and how management persuasion tactics reduce auditors’ judgments about observed internal control deviations. By requiring auditors to opine on the effectiveness of a client’s internal […]
Click here to read the complete postBankUnited Bid Reveals Complexity of FDIC Decision Process
Editor’s Note: This post is Eduardo Gallardo’s colleagues Kimble Cannon, Dhiya El-Saden and Chris Bellini. The post discusses the recently disclosed bids in the Federal Deposit Insurance Corporation’s May 2009 auction of BankUnited Financial Corp. The bids show that the “highest” bidder did not necessarily win the auction, and that the FDIC’s decision making process […]
Click here to read the complete postDelaware Law Changes to Facilitate Voluntary Adoption of Proxy Access
On April 10, 2009, Delaware’s governor signed into law legislation that has the potential to impact significantly the election of directors. These changes are effective August 1, 2009, but generally would not affect companies until the 2010 proxy season. This Commentary describes the legislative changes and their practical impact, as well certain questions raised by […]
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Posted in Corporate Elections & Voting, Legislative & Regulatory Developments, Practitioner Publications
Tagged Delaware law, Georgeson, Proxy access, Proxy voting, Shareholder elections, Shareholder voting
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Opportunities for Reform Born Out of a Market Collapse
“When the music stops, in terms of liquidity, things will be complicated. As long as the music is playing, you’ve got to get up and dance. We’re still dancing.” Former Chairman and CEO of Citigroup Inc., Charles O. Prince, July 9, 2007, four months before being ousted after reporting an unexpected $11 billion write-off of […]
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Posted in Banking & Financial Institutions, Bankruptcy & Financial Distress, Boards of Directors, Financial Crisis, Practitioner Publications
Tagged BLB&G, Board independence, Boards of Directors, Citigroup, Financial crisis, Risk, Risk management, Subprime securities
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Are Independent Audit-Committee Members Objective?
In our forthcoming Accounting Review paper, Are Independent Audit-Committee Members Objective? Experimental Evidence, we use an experimental economic setting to explore whether bonuses tied to current and future investor wealth similar in nature to stock based compensation affects an audit committee member’s (ACM) preference for biased financial reporting. Our motivation to examine ACM preference arises […]
Click here to read the complete postDynamic Incentive Accounts
In our paper, Dynamic Incentive Accounts, which was recently updated after being presented at the Harvard Law School / Sloan Foundation Conference on Corporate Governance in March, we study how executive compensation might be reformed to address a number of issues that were important contributors to the recent financial crisis. We consider a setting in […]
Click here to read the complete postTARP, ‘Say on Pay’ and Other Legislative Developments
Executive pay is being buffeted. It has been the subject of much legislative and other attention. The Troubled Assets Relief Program (TARP) has impacted significantly on executive pay at top levels of companies in the financial services industry that have received TARP aid. [1] Several bills pending in Congress would expand regulation of executive pay […]
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Posted in Boards of Directors, Executive Compensation, Financial Crisis, Financial Regulation, Legislative & Regulatory Developments, Practitioner Publications
Tagged Executive Compensation, Say on pay, Shareholder rights, TARP
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Why do Insiders Trade?
Many studies examine whether insiders’ trading activity is informative regarding future return on stocks. An underlying hypothesis tested in these studies is whether insider trades are driven by insiders’ superior information about the prospects of their firm and whether these trades are informative in generating abnormal returns. However, insiders may trade for reasons other than […]
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Posted in Academic Research, Empirical Research, Securities Regulation
Tagged Insider trading, Stock returns
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