A memorandum to be delivered to directors and officers of a public company summarizing their obligations under Section 16 of the Exchange Act. This memorandum is designed to educate the directors and officers about their obligations to file certain beneficial ownership reports and avoid generating short-swing profits from short-term trading in the company's securities, and inform the directors and officers of company programs that can assist them with their obligations. This Standard Document has integrated notes with important explanations and drafting tips.