California Expands Board Diversity Requirements: New Minimum Requirements Build Upon Existing Law Mandating Female Representation

Sullivan & Cromwell LLP - October 1, 2020

On September 30, 2020, Governor Gavin Newsom of California signed into law Assembly Bill No. 979, which will require boards of directors of publicly held companies headquartered in California to include a minimum number of persons from specified historically underrepresented communities on their boards of directors.  The law will become effective on January 1, 2021, and companies within its scope must meet specified diversity requirements by December 31, 2021.