Shareholder Protection Act
Encyclopedia
The proposed Shareholder Protection Act is a bill
that was introduced to the United States House of Representatives
in 2010. It would amend the Securities Exchange Act of 1934 to require that any solicitation of a proxy, consent, or authorization with respect to any security of an issuer: (1) describe the specific nature and total amount of expenditures proposed for political activities for the forthcoming fiscal year; and (2) provide for a separate shareholder vote to authorize such proposed expenditures. The bill was introduced by Representative Michael Capuano, a Democrat
from Massachusetts
, partially as a response to the Supreme Court's ruling in Citizens United v. Federal Election Commission
. As of October 10, 2010, it had 49 cosponsor
s.
Bill (proposed law)
A bill is a proposed law under consideration by a legislature. A bill does not become law until it is passed by the legislature and, in most cases, approved by the executive. Once a bill has been enacted into law, it is called an act or a statute....
that was introduced to the United States House of Representatives
United States House of Representatives
The United States House of Representatives is one of the two Houses of the United States Congress, the bicameral legislature which also includes the Senate.The composition and powers of the House are established in Article One of the Constitution...
in 2010. It would amend the Securities Exchange Act of 1934 to require that any solicitation of a proxy, consent, or authorization with respect to any security of an issuer: (1) describe the specific nature and total amount of expenditures proposed for political activities for the forthcoming fiscal year; and (2) provide for a separate shareholder vote to authorize such proposed expenditures. The bill was introduced by Representative Michael Capuano, a Democrat
Democratic Party (United States)
The Democratic Party is one of two major contemporary political parties in the United States, along with the Republican Party. The party's socially liberal and progressive platform is largely considered center-left in the U.S. political spectrum. The party has the lengthiest record of continuous...
from Massachusetts
Massachusetts
The Commonwealth of Massachusetts is a state in the New England region of the northeastern United States of America. It is bordered by Rhode Island and Connecticut to the south, New York to the west, and Vermont and New Hampshire to the north; at its east lies the Atlantic Ocean. As of the 2010...
, partially as a response to the Supreme Court's ruling in Citizens United v. Federal Election Commission
Citizens United v. Federal Election Commission
Citizens United v. Federal Election Commission, , was a landmark decision by the United States Supreme Court holding that the First Amendment prohibits government from censoring political broadcasts in candidate elections when those broadcasts are funded by corporations or unions...
. As of October 10, 2010, it had 49 cosponsor
Sponsor (legislative)
A sponsor, in the United States Congress, is a senator or representative who introduces a bill or amendment and is its chief advocate. Committees are occasionally identified as sponsors of legislation as well. A sponsor is also sometimes called a "primary sponsor."It should not be assumed that a...
s.