Wilson Sonsini’s post summarizes filings this week with the SEC by the NYSE and Nasdaq of amendments to their proposed clawback listing standards that would provide for an October 2 effective date and a corresponding December 1 clawback policy compliance deadline, consistent with issuers’ expectations engendered by statements made by SEC staff in the adopting release (page 124). The NYSE amendment would also provide for discretionary cure periods for noncompliance in lieu of triggering automatic delisting procedures. The Nasdaq proposal already contemplated a cure period prior to delisting.
See our prior reports: “NYSE, Nasdaq Propose Clawback Listing Standards,” “Society Submits Comment Letter on Clawback Standards Effective Date,” “SEC Extends Deadline to Act on Clawback Listing Standard” and “Clawback Policy Deadline,” and additional resources on our Clawbacks page.