As the old adage goes, all good things come to an end. The bull market cannot last forever and there already are warning signs that suggest a slowing economy in 2020. Regardless of who will be in the White House after next year’s election, the regulatory pendulum is already swinging toward more enforcement, particularly in new areas such as cybersecurity, consumer protection, and antitrust—at both the federal and state levels. State Attorneys General have increased enforcement efforts in areas traditionally reserved for the Securities and Exchange Commission (SEC). Plaintiff-lawyers are getting more creative in bringing new, innovative lawsuits against directors and officers, and class actions will increase as soon as stocks take a negative turn.
There are five steps that boards should be taking now, even when times are good. These steps are critical to fortifying a company against the inevitable threats on the road ahead.
via NACD BoardTalk | The Calm Before the Storm: Five Things Every Board Should Be Doing Now.
