Sabannes-Oxley raises piercing issues

Very interesting article in the National Law Journal this week on an unintended byproduct of Sarbannes-Oxley—causing public companies to go private.  Things can be so much easier as a private company and the grass is always greener …..  The article cautions all would-be privateers to be very careful, however.  In these days of legacy issues and the judges who are unimpressed with corporate veils when dealing with private companies, failure to understand the bases for piercing the corporate veil and to govern the company in a way the ensures against these pitfalls is a recipe for disaster.  It may be nice to avoid SOX, but don’t avoid it too much.