SEC guidance provides regulatory flexibility for shareholder meetings

Federal Issues SEC Covid-19 Securities Agency Rule-Making & Guidance

On March 13, the SEC issued guidance to assist public companies, investment companies, shareholders, and other market participants affected by Covid-19 with upcoming annual shareholder meetings. According to the SEC, the guidance is intended to facilitate the ability of companies to hold these meetings and engage with shareholders, including through the use of technology, while complying with federal and state securities laws. Specifically, the guidance provides regulatory flexibility to companies seeking to change the date and location of shareholder meetings, such as allowing affected parties to make these announcements in SEC filings without incurring additional costs.