One-Share One-Vote Rule

One-Share One-Vote Rule - One-Share One-Vote Rule is a rule by the Securities and Exchange Commission where the companies and corporations prohibited from issuing new securities that result in nullifying or restricting, or disparately reducing, the voting rights of the stock holders of stock certificates of common stock. However, the Securities and Exchange Commission rule would allow initial public offerings with dual classes of stock. It contains a grandfather provision for at minimum of three hundred companies that adopted dual classes of stock before May 1987. Many lawyers believe this date will move to include the twelve corporations that have since adopted dual-class structures.