Group Shareholder Litigation: Inaction no longer a viable optionApril 2023
IP’s COO, John Naughton, shares his views with ESG Clarity on why inaction on shareholder litigation is no longer a viable option for responsible investors.
John argues that shareholder actions not only offer a route for restitution of losses but also the chance for institutional investors to effect longer-term governance changes.
“Shareholder litigation is another string to the corporate governance bow. An increasing number of responsible institutional shareholders are now reviewing their internal policies regarding litigation and are joining shareholder actions both to recoup investors losses incurred through no fault of their own, together with ensuring that good corporate governance is on the same agenda as delivering sustainable shareholder returns.”