Which of the following is not a provision instituted by the Sarbanes-Oxley Act of 2002?

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act of 2002 does not state that independent directors may no longer have any type of relationship to the firm's CEO. Rather, it requires that independent directors have no material relationship with the company or its subsidiaries, which could interfere with their judgment as a board member. A, C, and D are all provisions instituted by the Sarbanes-Oxley Act of 2002. The Sarbanes-Oxley Act of 2002 does not explicitly state that independent directors may no longer have any type of relationship with the firm's CEO. However, it does require that a majority of the board of directors be independent and that independent directors meet among themselves without the presence of management. It also requires attorneys to report any evidence of a breach of fiduciary responsibility. The Act also has provisions related to executive compensation committees and their independent membership.

Which of the Following Is Not a Provision Instituted by the Sarbanes-Oxley