Corporate shareholders to review consideration packages

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Reference no: EM131481007

Twenty-two congressional representatives proposed a bill that would permit corporate shareholders to review the consideration packages that had been granted to key corporate executives of public corporations. The bill would empower the shareholders of public corporations to evaluate and vote on the appropriateness of the compensation packages that had been granted to the corporation's top five officers. The vote, however, would not obligate the corporation to change the compensation package if the shareholders disapproved of its terms. Would such a bill, if enacted into law, conflict with established contract law principles that permit parties to negotiate their own level of consideration?

Reference no: EM131481007

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