regardless of the size of the board or the company, it is essential that boards check safeguard confidential documents. This means that the documents cannot be accessed by anyone who is not authorized to access it. This could prevent information leakage which could affect the business or result in the loss of trust.
In order to address these concerns it is essential to have an overall policy. It is ideal for the policy to declare that directors are required to protect all non-public information they receive or receive while serving on the board. The policy should also clearly define what constitutes confidential information and include a clear definition of what constitutes confidential information and the breach of confidentiality will be considered to be a violation against the director’s fiduciary obligations to the company.
The most important thing is that the policy should define the manner in which the board will react to any breach. In general the board should be considering a range of responses, from censure by fellow directors or, in extreme cases, removal from the board. This will ensure that the policy is respected and enforced should the need arises.
To implement a robust board security system for documents is vital that the secretary has a dedicated board distribution and management system. Such systems can be put in place within a matter of minutes and offer the administrative and digital rights management (DRM) controls needed to support the board’s secretary in securely distributing board documents. The system will give the option of establishing specific access privileges to each individual, including the ability to print and view limits and PDF expiry dates visible watermarks and the ability to track who has seen the document.
Leave a Reply