Partner Philip Richter quoted, <i>The Corporate Dealmaker</i>,

Partner Philip Richter quoted, The Corporate Dealmaker, "Good Governance, good deals"

In an article entitled "Good Governance, good deals," Philip Richter, a corporate partner at Fried, Frank, Harris, Shriver & Jacobson LLP, comments on the role of corporate directors in the M & A process. The article illustrates how the governance reforms of the 2002 Sarbanes-Oxley Act have boards looking more closely at acquisitions. Under the act, acquirers must be ready to publicly certify the target company's financials after the closing is complete. Boards, not to mention Wall Street analysts, are pushing for more-specific post-deal milestones. "Directors are very interested in the results of due diligence ... Directors are asking tougher questions," reports Richter, "And they are being encouraged by counsel to ask more questions."