Frank Aquila and Melissa Sawyer Co-author Article in The Review of Securities & Commodities Regulation on Uses and Limitations of Poison Pills

October 15, 2014

On October 15, The Review of Securities & Commodities Regulation published an article by Mr. Aquila and Ms. Sawyer titled, “Perfect Pill, Imperfect Defense.” The article examines the uses and limitations of a poison pill in a shareholder activism situation. Mr. Aquila and Ms. Sawyer cover when and when not to use a pill, what may work instead and how to concoct the perfect pill. They conclude by saying, “Even when a poison pill fails to stop the threat, it can buy the board valuable time to consider strategic alternatives,” and go on to point out that a poison pill “can be a powerful gesture that the board intends to resist an unreasonable activist.”