Regardless of the size of the board or business, it’s crucial that boards safeguard confidential documents. This means that the documents cannot be easily accessed by anyone who is not authorized to do so. This can prevent information leakage that could impact the business or cause the loss of trust.

In order to tackle these issues, it is important to have an overall policy. In the ideal scenario, the policy should declare that directors are required to keep confidential any non-public information that they obtain or obtain while serving on the board. The policy should clearly define confidential information, and should include a clause that a breach of confidentiality is a violation of a director’s fiduciary duties towards the company.

The policy should also address the manner in which the board will react to the occurrence of a breach. The board should, in general be able to consider a variety options, ranging from a formal censure of fellow directors to, in the worst case removal from the board. This ensures that the policy is taken seriously and www.dataroomabout.com/advantages-of-having-a-virtual-data-roo is enforced if the need arises.

It is essential that the secretary utilize the board management and distribution software in order to set up a robust document security system. Such systems can be implemented within a matter of minutes and provide the administrative and digital rights management (DRM) controls needed to assist the secretary of the board in distributing board documents securely. The system can offer the option of establishing specific access rights for each individual, including limitations on viewing and printing along with PDF expiry dates, visible watermarks, and the ability of viewing who has viewed the document.