Shareholder Proposals as an Early Warning System for Corporate Risk, and the Cost of Ignoring Them

This Harvard Law forum post argues that shareholder proposals can function as an early-warning system for emerging corporate risk, using the example of a 2018 Meta proposal urging a dedicated risk oversight board committee for privacy and data risks that the board opposed as unnecessary. It is a cautionary case for boards on the cost of dismissing early signals, reinforcing the need for structured mechanisms to escalate and act on risk warnings.