Did California lawmakers seek the advice of a lawyer earlier than passing a regulation that mandates variety quotas for company boards? A state decide late Friday tossed the regulation on abstract judgment, suggesting it was so clearly unconstitutional that it didn’t benefit a full trial.
The 2020 regulation required public corporations headquartered in California to incorporate a minimum of one board director who identifies as a racial or ethnic minority or as homosexual, lesbian, bisexual or transgender by the top of final 12 months. Firms with 5 to eight board seats must embrace two “underrepresented” members by the top of this 12 months.
