Sarbanes Oxley Act Law and Legal Definition

Sarbanes–Oxley Act, also known as the Sarbanes–Oxley is a U.S. federal statute enacted in the year 2002. The Act provides certain enhanced standards for all U.S. public company boards, management and public accounting firms.

The Act is not applied to any private companies. The Act requires the Securities and Exchange Commission to implement rulings on requirements to comply with the new law.