As discussed in "Calling the Cavalry: Special Purpose Directors in Times of Boardroom Stress," special purpose directors can fill a void on the company's board in situations where the board may be unable to adequately staff a special board committee with its current directors in circumstances that warrant one - for example, to manage particular types of transactions, investigations, or special litigation.
The Harvard Law post, co- authored by Squire Patton Boggs Partner and Society member Frank Placenti, does a fine job of explaining the mechanics for adding special purpose directors (which are much less onerous than commonly perceived), where/how to find candidates, and how to alleviate common concerns - including the typically mutual desire for an abbreviated director term/tenure and appropriate compensation arrangements.
Access additional information & resources on our Special Board Committees page. This post first appeared in the weekly Society Alert!