Horwich Quoted on CEO Health Disclosures During Coronavirus Pandemic
Partner Allan Horwich discussed when and how boards and chief executive officers (CEO) of large, public companies should disclose any health issues, specifically if the directors or executives have been exposed to the coronavirus (COVID-19).
Allan noted that no specific U.S. regulations require CEOs to disclose health issues to anyone, including their boards, unless there was a specific agreement to do so. In each case, the CEO and the board must make a judgment call.
He added that a board would have to assess how critical the executive is to the company’s operations and factors such as whether the CEO has a pre-existing health condition that might make the coronavirus diagnosis more serious. The assessment depends on what facts the executive and the directors have to work from.
“We don’t have any magic formula,” Allan said.
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