| Initial Public Offerings and Lockup Agreements |
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| A lockup agreement is a contract between an underwriter and a company going public in which the insiders of the company, including directors, officers, employees, and friends and family agree that they will not sell shares of the company they own until a set period of time after the company's shares are sold to the public. The objective of the lockup agreement is to provide a stable market for the securities for a reasonable time after the initial public offering.More... |
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| Business & Corporate Entities> Corporations> Shareholders & Other Constituents> Meetings & Voting |
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| (Preparations for the Annual Shareholder Meeting)More... |
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| Business & Corporate Entities> Corporations> Shareholders & Other Constituents> Shareholder Duties & Liabilities |
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| (Controlling Shareholder Duties)More... |
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| Degree of Culpability |
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| Typically, directors who conduct the corporation's business must exercise the care that an ordinary prudent person would exercise in the management of his or her own affairs under similar circumstances. This "ordinary" standard of care has been adopted by a majority of states and enacted in their corporation statutes. However, courts consistently interpret the culpability standard for the duty of care as one of gross negligence.More... |
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| Business & Corporate Entities: Corporations |
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| Professional Corporation BasicsMore... |
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