In October 2022, the SEC adopted Rule 10D-1, directing national securities exchanges to establish listing standards that prohibit the listing of any security of a company that does not adopt and implement a written policy requiring the recovery, or “clawback,” of certain erroneously paid incentive-based executive compensation. In this Legal Update, we discuss the application of the first two exceptions for countries that are incorporated in, or have executives working in, foreign jurisdictions where the enforcement of the policy will require application of local law in that country.

Read our legal update.