Rim backdating

In doing so, the company violated the terms of its own stock option plan and a listing requirement of the Toronto Stock Exchange.RIM is listed on the American NASDAQ stock market and the Canadian TSE.Additionally, where the backdating of an agreement affects the taxes that are imposed (or not imposed) on one of the contracting parties, courts will generally only respect the backdating provisions as between the contracting parties.A court will generally not enforce the backdating provisions as between a taxpayer and the applicable tax enforcement agency (such as the Canada Revenue Agency).It is common for two parties, particularly in the commercial context, to enter into a contract at one time, but agree to have the contract come into effect at an earlier time. Courts respect the parties' decision to backdate since giving effect to backdating provisions respects the parties' intentions as well as their freedom of contract., 1968 (the date the contract was delivered to the insured).The Court considered the construction of the whole policy and held that the exclusion clause took effect on the backdated date chosen by the parties.Gearing up to close another chapter in its tale of cooked books, RIM announced this week that the company and "certain of its officers and directors" have reached a settlement with the Ontario Securities Commission over backdating stock options.Those certain officers are more than likely co-CEOs Jim Balsillie, who also serves as a director, and Mike Lazaridis.

Professor Erik Lie, whose work has led to nearly 200 investigations in the US, says in an affidavit “I believe that backdating has taken place here”.

This practice contravened both the TSX Rules as well as RIM's stock option plan that required options "to be granted at an exercise price not less than the closing price of RIM's common shares on the TSX on the last trading day preceding the date on which the Options are approved for grant".

Rim backdating comments

  • Corporate Governance, Ethics, and the Backdating of Stock. profil de paulette60


    Backdating of stock options is an example of an agency problem. It has emerged despite all the measures i.e. new regulations and additional corporate governance mechanisms aimed at addressing such.…
  • RIM's co-CEO Balsillie stepping down from board as part of. profil de paulette60


    Feb 04, 2009 RIM's co-CEO Balsillie stepping down from board as part of backdating settlement. RIM's co-CEO Balsillie stepping down from board as part of backdating.…
  • RIM Backdating Shuffle - Nothing To See Here Windows Central profil de paulette60


    So when the stock option backdating brouhaha that's been sweeping the nation er, nations, as RIM's based in Canada hit RIM.…
  • RIM settlement in backdating scandal to be heard tomorrow profil de paulette60


    Research in Motion announced that it has reached an agreement with the Staff of the Ontario Securities Commission in the investigation of the company's backdating practices.…