Folded into the rule regarding compensation policy disclosure is a request for more information about the qualifications of nominees and members of corporate boards. Under the SEC's current policy, companies need only disclose a small amount of information on each individual.

The proposed rule asks companies to discuss specific experiences and skills that qualify someone to serve on the board. Additionally, it extends the required time period for reporting previous legal proceedings against a candidate to 10 years from five.

“It's not easy to argue with,” says Howell Reeves, of counsel at Duane Morris. “It gives meaningful information that will assist shareholders for evaluating candidates for election to the board.” Because it's a reasonable request, he says, the rule is unlikely to be a large burden if adopted.