On July 22, 2011, in Business Roundtable & Chamber of Commerce of the United States of America v. Securities & Exchange Commission, No. 10-1305 (D.C. Cir. July 22, 2011), a three-judge panel of the U.S. Court of Appeals for the District of Columbia Circuit vacated Rule 14a-11 (the proxy access rule) adopted in 2010 by the SEC under the Exchange Act, finding that the SEC had acted “arbitrarily and capriciously” in adopting the rule without properly assessing and weighing the rule’s effect on efficiency, competition and capital formation. Rule 14a-11 requires public companies and registered investment companies to permit any shareholder or group of shareholders owning at least 3 percent of a public company’s voting stock for at least three years to include director nominees’ names in company proxy materials. On September 6, 2011, the SEC issued a press release confirming that it would not seek a rehearing on the decision.