Early reports had the Supreme Court tossing out major portions of the 2002 corporate reforms that followed the Enron and WorldCom accounting scandals, but the high court only ordered a technical change to one part of the law. The change makes it easier for the president to remove members of the Public Company Accounting Oversight Board, which was established to regulate the accounting industry. There has been speculation for months that the court would overturn the law. From the WSJ:
In terms of changing the way companies operate, "essentially this is a non-event," said Charles Elson, a director at HealthSouth Corp. and director of the John L. Weinberg Center for Corporate Governance at the University of Delaware. The change in oversight of the accounting board won't likely have a big impact on companies, corporate-governance experts said. The bigger significance is that the rest of Sarbanes-Oxley survives. Governance experts had wondered: "Would they knock the whole thing out? And obviously they chose not to," Mr. Elson said. "You've got this oversight vehicle over the accounting profession that remains, and you've got this significant regulatory structure around the auditing process that remains.