staggered terms


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Staggered Terms

An arrangement whereby only a certain number of members of a board of directors are elected in a given year. For example, a board of directors may have 10 members serving five year, staggered terms where two new members are elected each year. In addition to giving the board consistency in its membership, staggered terms makes hostile takeovers more difficult because the potential acquirer can replace only so many directors at a time.

staggered terms

Membership terms for a firm's directors that expire in different years. A firm with 12 directors might have 4-year terms with 3 seats up for election each year. Staggered terms make it more difficult for a raider to gain control of a board.
References in periodicals archive ?
Independence and reasoned analysis | The justification for these multi-member bodies is that they are independent because they have members from different political parties and backgrounds who serve staggered terms that bridge elections.
Reinecke, reasoning that "[t]o obviate the inequality [between voters] would substantially interfere with the orderly operation of the four-year staggered terms system after every reapportionment." (7) Thus, the intersection of the nineteenth-century state constitution and the twentieth-century redistricting mandate has generated a democratic dilemma: every ten years voters may elect one, two, or zero state senators owing solely to the vagaries of the redistricting process.
Currently, its board is divided into three classes of directors, with the directors serving staggered terms. It plans to present the proposal for amendment at its 2008 annual meeting.
The council consists of seven members, each of whom shall be elected for staggered terms of three years.
ARCS Dallas branch helped the borrower, a California real estate investment trust, by structuring the mortgages with staggered terms and flexible collateral conditions.
NCEW's president and treasurer serve one-year terms as ex-officio voting members, and five other NCEW members serve staggered terms. The two non-NCEW members who serve on the board are familiar with the work of opinion professionals; they work for media companies.
In order to allow for staggered terms, as provided in the constitutional amendments of the last year, nominations were opened for a two-year term for president.
Leases with the new owner are on staggered terms through March 2008.
Other key features of the new ITAB Leadership Structure/Succession Plan include: two-year staggered terms for the co-chairs without term limits, recommendations from INDA staff regarding future co-chair appointments with final decisions requiring the advice and consent of the entire ITAB as well as the right to amend the system as needed.
Associate members can be elected to the board for two-year, staggered terms, with the number of associate members on the board not to exceed 25 percent of the board total.
There are multiple directors per zone, who will serve staggered terms of one, two or three years.
The vice-chairs shall hold office for two years and shall have staggered terms, with two vice-chairs being nominated and elected each year at the Annual Meeting.