A staggered board of directors is an example of
A)a hostile takeover maneuver.
B)a special committee.
C)a shark repellent.
D)None of these are correct.

Question

Quizplus · Accepted Answer

A staggered board of directors is also known as a classified board, which is a type of shark repellent. This means that it is a defensive measure taken by a company to protect itself against hostile takeovers. It does this by dividing the board into different classes, with each class serving for a specific term. This makes it more difficult for an acquiring company to gain control of the board and ultimately the company.

A Staggered Board of Directors Is an Example of