Corporate governance

  If you are a company executive, you were likely asked to sign a contract before assuming your new employment role. The legal agreement you entered into typically spells out the responsibilities of your position, your salary, any fringe benefits you are eligible...

The owners of a public company, its shareholders, can be individual people, institutions, or other corporations. Each of these parties must abide by a shareholder agreement.  Shareholders and company directors aren't generally the same. Shareholders typically don't...

As a California business that operates in the financial services sector, you are well aware that your company and the registered investment advisors (RIAs)  are subject to significant government oversight. It's not uncommon for the Financial Industry Regulatory...

Contracts are the backbone of any business. They outline the obligations expected from both parties. The terms set therein (and those that California law applies, whether the conditions are in the contract or not) are the basis for managing smooth partnerships. ...

There have been some major developments in federal and state securities law in the past year.  One of the developments has been the Ninth Circuit's interpretation of the Private Securities Litigation Reform Act (PSLRA) regarding the safe harbor clause for...

A non-compete agreement can often be used to protect business interests, such as trade secrets and client lists. It can be used to prohibit employees who have been terminated, either voluntarily or involuntarily, from soliciting existing clients of the business or...

Corporate governance is a system of policies, processes, and rules that delineate the relationship and balance of power between shareholders, management, the Board of Directors, and other significant stakeholders. Effective corporate governance policies must be...

A severance package, also known as a severance agreement, is a contract made by a departing employee and their employer. In the agreement, the employee agrees not to sue their employer for wrongful termination. In exchange, the employer gives the employee a severance...

Not all parachutes are golden. If you are an executive facing separation from your company, you can often negotiate a better severance package than the one you're initially offered. If you have risen to the executive level with one single company, you may not be aware...

In part 1 of this post, we talked about the fiduciary duties of corporate directors and officers. In part 2, we provide an example of the kinds of lawsuits these fiduciaries can face. Allegations against directors and officers of a California-based company A...