SEC Takes Strict Interpretation of Rule 14a-8’s One-Year Holding Period Requirement
On March 10, 2014, in a no-action letter to SeaWorld Entertainment, Inc., the Securities and Exchange Commission signaled its position that shareholders seeking to submit proposals for inclusion in the proxy materials of newly-public companies are not exempt from the requirement in Rule 14a-8(b)(1) that proponents must hold the requisite amount of stock in the company for at least one year by the date on which they have submitted their proposal.