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This adjustment to the filing window came in with the Sarbanes-Oxley legislation.Backdating is dating any document by a date earlier than the one on which the document was originally drawn up.
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This is important to note, because the grant date is what determines the exercise price on the options.According to a study by Erik Lie, a finance professor at the University of Iowa, more than 2,000 companies used options backdating in some form to reward their senior executives between 19.
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