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Governance and Nonprofit Corporations: Requirements and Expectations in a Post-Sarbanes Oxley World

January 14, 2004

Melinda A. Agsten


Corporate Governance – What is it?
“Corporate governance” refers both to the system of rules, policies, and procedures through which the board of directors of a corporation oversees its affairs and how the board actually performs its functions and discharges its duties.
Why Corporate Governance Has Become so Important. In today’s environment, the quality of governance of a nonprofit corporation has emerged as a major concern because of the continuing high-profile failures of corporate leadership to oversee the activities of corporations and to meet minimum standards for responsible stewardship consistent with the best interests of the corporations and their members or shareholders, if any.

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