
What best describes a 'staggered' or classified board of directors?
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Get StartedWhat best describes a 'staggered' or classified board of directors?
Options:
- All directors face election every year
- Directors are elected in overlapping multi-year classes
- The CEO appoints directors without shareholder votes
- Directors are elected via cumulative voting only
Correct answer: Directors are elected in overlapping multi-year classes
Explanation: A staggered board divides directors into overlapping classes with multi-year terms (commonly three classes), so only a portion face election each year, reducing takeover vulnerability.
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