JUST IN: THE SEC IS MOVING TO SCRAP THE FEDERAL RULE GOVERNING SHAREHOLDER PROPOSALS … AND HAND THAT POWER BACK TO THE STATES. The SEC has sent a proposal to White House review that would rescind Rule 14a-8, the federal framework that determines when shareholders can force proposals onto public-company proxy ballots. SEC Chairman Paul Atkins has argued the rule infringes on state corporate law. The implications for DExit could be enormous. Texas already allows companies to impose thresholds as high as $1 million of stock ownership for shareholder proposals, versus as little as $2,000 under the current SEC rule. If Washington pulls back, where a company incorporates could suddenly matter even more for the balance of power between boards, founders and activist shareholders.