An election deadline is the cut-off for responding to a corporate action that offers a choice, such as a tender offer, a rights issue or a dividend with a share alternative. The issuer or its agent sets a market deadline in the event terms. Holders who have not submitted a valid corporate action election by then receive the default option, or are treated as taking no action.
In practice there is not one deadline but a series. Each intermediary in the custody chain needs time to collect, check and forward instructions, so the depository sets a deadline before the agent's, the custodian sets one before the depository's, and a broker or wealth manager sets one earlier still. An investor may therefore have to decide days ahead of the published date. Each election instruction must reach the intermediary by its own deadline; late instructions are processed only on a best-efforts basis.