Does the governance rule require changes to System institutions bylaws?
The governance rule makes no direct requirement for bylaw changes; however, some changes may be necessary to conform to the rule. For example, if an institution has a bylaw provision specifying that outside directors serve for 2 years and elected directors serve for 3 years, then the bylaws would have to be changed because the governance rule requires outside directors to have the same term of office as stockholder-elected directors.
