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Dictionary by pitch.dog
Boards, directors & committees · Working

Board independence

Also called: independent board

ELI5

The degree to which directors can exercise judgement without management or controlling-owner influence.

Used in conversation

“The board paper must state who owns and approves board independence.”

Pitch context

You will see “Board independence” in board papers, contracts, policies, risk registers and compliance reports when the discussion reaches boards, directors & committees.

Why it matters: In boards, directors & committees, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

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Sources & evidence · 3

Direct term-level sources and supporting source families.