Todd posted that:
Here's what apperars to be the relevant passage:
A reader in Taiwan kindly sent along this translation:
"Both Sarbanes-Oxley Act and Dodd-Frank Act are devoted to making the board of a company become professional, qualified and neutral. However, [controlling] shareholders are not necessarily willing to cede board seats to [those professional, qualified and neutral directors], and independent directors do not function well. Therefore, Professor Bainbridge of UCLA and Professor Henderson of UChicago suggest that individual director should be replaced by BSP. The main reason: a company will not pay for a consultant who works several hours per month/season, so it is unreasonable, at the same or higher cost, to retain a director who works several hours per month/season either. Rather, [the directors' role] can be passed to BSP so that more experts can be hired for support. The two professors' suggestion leaves many questions unanswered, such as who shall decide to retain the BSP, the governance of BSP and whether BSP will dictate the operation of the board, etc. The reason for the two professors' revolutionary suggestion is due to the dysfunction of modern board that makes the company with limited liability, referred as the most important invention in modern history by [Nicholas Murray] Butler, ... the most serious disaster."
He also comments that:
As correctly indicated by Professor Henderson on his Facebook post, [the article's author] Mr. Chong Chen is the former prime minister in Taiwan, who is highly respected due to his expertise in the financial market.
