Law Commons^™

Second Generation State Takeover Legislation: Maryland Takes A New Tack, Michigan Law Review

Michigan Law Review

This Note examines the approach recently adopted by the Maryland legislature in special session one year after the Supreme Court's decision in MITE. Maryland has departed radically from the regulatory approach of first generation statutes; however, this Note argues that the statute has failed to escape the constitutional infirmities of its predecessors. Part I outlines the various mechanisms that regulate acquisition of corporate control: the federal tender offer regulatory mechanism known as the Williams Act, state takeover legislation such as the Illinois statute invalidated in MITE, and the new Maryland statute. Part II analyzes the debate concerning the …

Diversity Jurisdiction And Alien Corporations: The Application Of Section 1332(C), Jim Whitlatch

Indiana Law Journal

No abstract provided.

Corporate Morality And Management Buyouts

Washington and Lee Law Review

No abstract provided.

The Sale Of Business Doctrine: Judicial Exemption From The Federal Securities Laws

Washington and Lee Law Review

No abstract provided.

The Supervision Of Corporate Management: A Comparison Of Developments In European Community And United States Law, Alfred F. Conard

Michigan Law Review

In 1971, Eric Stein published an account of the remarkable progress of the European Economic Community (EEC) toward a harmonized law of business corporations. The progress was particularly striking from an American viewpoint, because the harmonization was achieved by moving toward the more rigorous of the various national standards, in contrast to the "race of laxity" or "race for the bottom" that has characterized the movement toward uniformity in the corporation laws of U.S. states.

Federalism And Company Law, Richard M. Buxbaum

Michigan Law Review

It would be a simplifying and historically dubious reduction to equate state interest in corporation law with interventionist or regulatory policies and federal interest with liberal or facilitative ones. So long as a federal legal system presupposes the continuing involvement of two governments with the same subject, however, it is only the subordinate polity's interest in intervention or regulation that makes for interesting reading. State facilitative policies in an era of national facilitative policies raise no questions, and a state's continuing adherence to laissez faire policies when the national government turns interventionist typically creates no conflict. It is only the …

New Ways In Corporate Governance: European Experiments With Labor Representation On Corporate Boards, Klaus J. Hopt

Michigan Law Review

Corporate governance has been discussed in Europe for over 150 years. Indeed, in the 1840's, when the first Corporation Act was enacted in Prussia, three troubling features of the corporate organization form had already been discerned: (I) the vulnerability of small investors who lacked the influence and sophistication to. control the corporation; (2) the risk to creditors and the public created by the limited liability of the corporation, especially when combined with inadequate funds and poorly controlled management; and (3) the power that big corporations could amass economically, by monopolizing markets, and politically, by exerting influence on public opinion and …

Competition, Integration And Economic Efficiency In The Eec From The Point Of View Of The Private Firm, Michel Waelbroeck

Michigan Law Review

As early as 1956, experts appointed by the six original Member State governments to investigate measures to pursue integration after the failure of the European Defence Community clearly established this link between the abolition of barriers to trade and an increase in the intensity of competition. In what has come to be known as the "Spaak Report," the experts noted the technology gap then separating Europe from the United States and proposed, as a remedial measure, the creation of a ''vast zone of common economic policy, constituting a powerful production unit, and allowing a continued expansion, and increased stability, an …

State Statutory Restrictions On Financial Distributions By Corporations To Shareholders, Part Ii, Richard O. Kummert

Washington Law Review

The main body of my analysis of state statutory restrictions on corporate financial distributions appears in the second section following this introduction. The intervening section provides a brief summary of the interests of groups in society that are affected by such restrictions. That material, derived from the first part of this article, forms the necessary underpinning for the analysis of costs and benefits resulting from any form of regulation of corporate financial distributions.

Canada's Foreign Investment Review Act And The Problem Of Industrial Policy, James M. Spence Q.C.

Michigan Journal of International Law

The purpose of this article is to consider the Foreign Investment Review Act (FIRA or the Act) of Canada in the context of the continuing discussion in North America of the concept of "industrial policy." The particular version of industrial policy of interest for this purpose is the concept which involves interventionist activity by the government designed to affect directly the economic activity of an industry, company, or plant. The first part of the article briefly describes the background and operation of FIRA. The second part comments on the concept of interventionist industrial policy as it has developed in Canada. …

Industrial Policy In The Field Of Informatics In Brazil, Walter Douglas Stuber

Michigan Journal of International Law

This article first presents a brief overview of Brazilian industrial development. This overview provides a basis for understanding how the Brazilian Government's informatics policy differs from past Brazilian industrial models. The article then describes the Brazilian Government's policy in the field of informatics. It concludes that a policy which is less protectionist than the government's current program would, through allowing greater foreign participation in the market, better encourage the development of Brazilian informatic companies.

Employee Involvement In Decision-Making: European Attempts At Harmonization, Ruth A. Harvey

Michigan Journal of International Law

Part I of this note examines the sources of Community power over employment policy. Part II analyzes two Community directives approximating laws regarding employee involvement in dismissal procedures. It also examines the impact of these Community directives on two Member States, the Federal Republic of Germany (FRG or West Germany) and the United Kingdom. The note focuses on the FRG because its statutes have served as the model for Community directives, and because the harmonization of laws throughout the Community will provide unique benefits to the FRG. The note examines the United Kingdom because its government has historically had a …

The Public-Spirited Defendant And Others: Liability Of Directors And Officers Of Not-For-Profit Corporations, 17 J. Marshall L. Rev. 665 (1984), Bennet B. Harvey Jr.

UIC Law Review

No abstract provided.

Sec Rule 14a-8: New Restrictions On Corporate Democracy?, Timothy L. Feagans

Buffalo Law Review

No abstract provided.

Books Received, Law Review Staff

Vanderbilt Journal of Transnational Law

Quaderni Di Scienze Criminali: The Penal Protection of Works of Art. Edited by the International Institute of Higher Studies in Criminal Sciences. Siracusa, Italy: The International Institute of Higher Studies in Criminal Sciences, 1983. Pp. 447.

Japanese Business Law and the Legal System. By Elliott J. Hahn. Westport, Connecticut and London, England: Quorum Books, 1984. Pp. vii, 168. $35.00.

The Exchange Rate System: Lessons of the Past and Options for the Future. Edited by Ellas H. Wright. Washington, D.C.: International Monetary Fund, 1984. Pp. vii, 55. $7.50.

The International Maritime Organization. Edited by Samie Mandrabody. London: Croom Helm Ltd., 1984. …

Federal Security Laws And Their Applicability To The Sale Of A Business: An Appeal For Regulatory Action, 17 J. Marshall L. Rev. 393 (1984), John W. Blenke Jr.

UIC Law Review

No abstract provided.

Oil And Gas Limited Partnership Lease Fund Transaction - Basic Industry Model Restructured, John J. Potts

Villanova Law Review

No abstract provided.

Serving Two Masters: Commercial Hues And Tax Exempt Organizations, Lawrence Zelenak

Seattle University Law Review

This article will describe the statutory and regulatory framework of section 501(c)(3), examine how the test has been applied, criticize the test, and suggest a test more in keeping with the language and the spirit of section 501(c)(3). The proposed test is this: If the questioned activity directly accomplishes an exempt purpose of the organization, and if all profits from the activity are used in a manner consistent with the organization's exempt purposes, 6 then the organization should be granted exempt status, whether or not the organization's activities are imbued with a "commercial hue."

Kentucky Law Survey: Corporations, Willburt D. Ham

Kentucky Law Journal

No abstract provided.

Liquidation-Reincorporation: A Sensible Approach Consistent With Congressional Policy, Glenn P. Schwartz

University of Miami Law Review

No abstract provided.

An Outsider Looks At Insider Trading: Chiarella, Dirks And The Duty To Disclose Material Nonpublic Information , Frank P. Luberti, Jr.

Fordham Urban Law Journal

The "abstain or disclose" rule, which states that persons in possession of material non-public information must either disclose that information or refrain from trading on such information, is at the heart of insider trading law. Despite the complex legal system designed to thwart insider trading, the community's widespread criticism of such conduct, and the risk of civil and/or criminal sanctions for violation of federal securities law, insider trading cases have been on the rise. This Note argues that a more serious stance against insider trading must be taken in order to achieve the federal securities laws' purposes and so that …

The Role Of Planning Contracts In The Conduct Of French Industrial Policy, Saul Estrin, Peter M. Holmes

Michigan Journal of International Law

The French have a long history of state economic planning, of comprehensive industrial policy, and of contractualised relations between the state and firms, though the links between them have not always been close. In the following section we review the relevant history of French planning and industrial policy. We focus in the second section on the development of contractual relations between corporations and the state in postwar France until the Socialists took office in 1981. In the third section we discuss recent developments, and we conclude with a theoretical appraisal of the experience.

Whither The Future Of Japanese Industrial Development Policies?, Merit E. Janow

Michigan Journal of International Law

This article describes past and present Japanese industrial policies. After discussing the evolution of Japanese industrial policies generally, it addresses the specific instruments of those policies including those intended to assist declining industries as well as those intended to promote the development of new industries. Finally, this article suggests that government guidance of Japan's industrial sector has decreased and is likely to decrease further still in the future.

Foreign Investment Laws In Developing Countries, Jane E. Cross

Michigan Journal of International Law

Rather than extensively analyzing the various laws of Argentina, Mexico, and Nigeria that are specifically designed to encourage foreign investment, this note endeavors to explain how the laws of these countries that have as the primary function the monitoring and restricting of foreign investment activity are able to refrain from severely discouraging the foreign investment needed to promote industrialization. The tendency of LDCs to liberalize their restrictive foreign investment laws over the last few years demonstrates the growing importance of minimizing the adverse impact of legal constraints on foreign capital investment.

Investment Incentives And Guarantees In The Republic Of China, The Republic Of Korea, Thailand, And The People's Republic Of China, Barbara J. Martin

Michigan Journal of International Law

This note will focus on direct investment in four countries in Southeast Asia: the Republic of China (ROC), the Republic of Korea (ROK or South Korea), Thailand, and the People's Republic of China (PRC). Despite similar goals, these four countries differ significantly in their treatment of foreign investors.

Technology Diffusion And The Performance Of American Manufacturing: A Propsal For An Industrial Extension Service, Frank Ostroff

Michigan Journal of International Law

The purpose of this article is to propose an Industrial Extension Service modeled upon the Agricultural Extension Service, and suggest how it might effectively address certain fundamental problems hindering the performance of the American manufacturing sector. Part I highlights some probable causes of American manufacturing's declining relative performance. Part II discusses why firms may adopt new technology more slowly than would be optimal. Part III considers the model of the Agricultural Extension Service, pointing out those features that make it attractive and those features that would have to be changed in applying it to the industrial sector. Part III also …

An Alternative To High Tech, Donald E. Dekieffer

Michigan Journal of International Law

In recent years American industry's ability to compete in the international marketplace has appeared to decline. With a decreased world market share and a balance of payments deficit many policymakers have concluded that traditional industry is dying and that it is time to reassess American economic strength in new and more advanced industries, that is, "high-tech" industries. The "failure" of domestic "smokestack" industries producing automobiles, steel, and textiles allegedly supports this view. However, the problems of these industries are attributable to the current structure and climate of international and domestic trade. To offer any realistic solutions, the following issues must …

The Joint Enterprise: Collaboration Between The Public And Private Sectors, Howard Anawalt, Karen Robbins

Michigan Journal of International Law

This article first outlines the structures of the joint and tripartite enterprises. It then addresses two legal concerns facing an operational enterprise, the potential tort liability of enterprise participants and antitrust restrictions. Tort liability is a threshold concern of any joint venture or partnership, and antitrust law is a basic constraint on the operations of any business. The article proceeds to show that the problems they pose for a joint enterprise can be minimized or avoided. In the third part of the article the authors demonstrate the special utility of the joint enterprise.

The United States Specialty Steel Industry, Michael H. Leb

Michigan Journal of International Law

Part I of this note briefly describes the problems of the specialty steel industry and traces the attempts to deal with those problems from 1968 through the imposition of the relief measures which spawned the current negotiations. After discussing the trade history of the specialty steel industry, the note examines the effectiveness of two domestic import relief statutes through which the government has attempted to assist the industry. The note then analyzes U.S. attempts to aid the specialty steel industry through measures which violate the fundamental principles of the GATT system. The note concludes that since the GATT system cannot …

The Large Civil Aircraft Industry: Applying Legal Policy-Making Tools To Accommodate A Changing Industry, Dennis G. Terez

Michigan Journal of International Law

This note first examines the emergence of Airbus Industrie (Al or Airbus) and identifies some of the legal and policy instruments which the European governments have employed to make Al a successful competitor. After a brief discussion of the growing difficulties with subsidy policies, the note considers European Community legislation for a common European industrial policy and the creation of a European Export Bank as possible alternative solutions for maintaining Al's competitiveness. The note finally argues that international industrial agreements are necessary legal tools for effective regulation of the manufacture and sale of large civil aircraft. International agreements currently in …