Backdating Backlash: Will Corporate Insurers Be Wiped Out By A Tidal Wave Of D&O ‘Stock Options’ Claims, Best’s Review

Posted Feb 1, 2007

Directors and officers liability insurers continue to assess the impact of corporate stock option “backdating” practices, originally feared as holding the potential for Enron-sized market losses. And rightly so, with experts estimating the practices may have been used at some 2,000 companies, and with federal investigations pending into the nature of stock options granted to senior executives at more than 60 companies.

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