interlocking directorate
Definition
Membership on the boards of directors of two or more firms by the same individual. It is normally legal except where the firms are mutual competitors, but is usually considered undesirable because it allows firms to exchange non-public (privileged) information and, therefore, may hinder fair competition.
interlocking directorate is in the Corporate, Commercial, & General Law and Entrepreneurship, Management, & Leadership subjects.
interlocking directorate appears in the definitions of the following terms: affiliate, Clayton Act and associate company
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