Sep. 5 at 7:25 PM
$FOMI For a publicly traded company
Public companies are subject to extensive SEC disclosure rules and provide regular reports (10-K, 10-Q) that are accessible to the public. You can demand to inspect additional corporate records, such as specific accounting documents, but your request must meet the "proper purpose" test.
Make a written demand. The request must be in writing, specifically describing the records you want to see.
State a proper purpose. You must explain how the request relates to your interests as a shareholder. Proper purposes include:
Investigating potential mismanagement or wrongdoing by the board of directors.
Determining the value of your shares.
Communicating with other shareholders on a matter of corporate interest.
Company response. The company may challenge your request if it believes your purpose is improper or in "bad faith," such as seeking confidential information for a competing business.
