Securities Law Commons^™

A Commerce Clause Challenge To New York's Tax Deduction For Investment In Its Own Tuition Savings Program, Amy Remus Scott

University of Michigan Journal of Law Reform

The Internal Revenue Code provides guidelines for states to create and maintain college tuition savings programs which offer federal tax benefits to investors. Several states have enacted tuition savings plans in accordance with these guidelines. In addition to the federal tax benefits allowed, New York offers a state tax deduction to New York residents who invest in its plan, the New York College Choice Tuition Savings Program. New York does not offer the deduction, however, to residents who invest in comparable programs offered by other states. The tax deduction thus creates an incentive for residents to invest in the in-state …

Defining The Duty: Attorneys' Obligations Under Rule 10b-5, Cynthia A. Bedrick

Indiana Law Journal

No abstract provided.

Malone V. Brincat: The Fiduciary Disclosure Duty Of Corporate Directors Under Delaware Law, Nicole M. Kim

Washington Law Review

In Malone v. Brincat, the Supreme Court of Delaware significantly broadened the fiduciary disclosure duty of corporate directors under Delaware law. Malone allows shareholders to bring either a direct or a derivative action against directors for the public release of misleading financial statements reported to the Securities Exchange Commission, regardless of whether the alleged misstatements were made in connection with a request for shareholder action. The court also held that a federal preemption statute, the Securities Litigation Uniform Standards Act of 1998, did not preempt the shareholders' action in Delaware state court. This Note argues that the Supreme Court …

Taking Stock: Securities Markets And The Division Of Powers, Robert Leckey, Eric Ward

Dalhousie Law Journal

Recent developments in Canada's securities markets highlight their national character and call for a fresh consideration of the question of federal securities regulation. Developments in the constitutional case law have changed the legal context, such that the trade and commerce and the peace, order and good government powers under the Constitution Act, 1867 would likely support federal securities legislation. The securities question, important in its own right, also serves as a case study for how the Supreme Court of Canada conducts division of powers analysis for matters that have undergone substantive change. The authors contend that competence over a provincial …

Moving Toward A Clearer Definition Of Insider Trading: Why Adoption Of The Possession Standard Protects Investors, Lacey S. Calhoun

University of Michigan Journal of Law Reform

In recent years, insider trading has become a publicized focus of securities law enforcement. The definition of insider trading has emerged slowly through case law, and the term has been clarified by new theories of liability. The use and possession tests are two standards of liability used to judge the treatment of inside information. The use standard offers a defense to insider trading liability while the possession standard premises liability on mere possession of inside information. This Note argues that courts should adopt the possession standard because this standard better protects investors, a primary goal of the Securities Exchange Act …

Securities Regulation, David M. Calhoun, L. Briley Brisendine Jr.

Mercer Law Review

This Article surveys significant cases decided by the United States Supreme Court and the United States Court of Appeals for the Eleventh Circuit during 1997 and 1998 in the area of securities regulation.

I. APPLICATION OF THE MISAPPROPRIATION THEORY TO LIABILITY UNDER SECTION 10(B) AND RULE 1OB-5; CONFIRMATION OF COMMISSION'S RULEMAKING AUTHORITY UNDER SECTION 14(E)

II. ADOPTION OF THE "USE TEST" IN INSIDER TRADING VIOLATIONS UNDER SECTION 10(B)

III. APPLICATION OF ANTIFRAUD SECURITIES LAWS TO STOCK APPRECIATION RIGHTS

IV. DEFINITION OF "SECURITY"

V. EFFECT OF BANKRUPTCY ON CIVIL DISGORGEMENT AWARD

A Case-By-Case Approach To Pleading Scienter Under The Private Securities Litigation Reform Act Of 1995, Matthew Roskoski

Michigan Law Review

Securities fraud litigation under Rule lOb-5 threatens all publicly traded companies: according to the Stanford Securities Class Action Clearinghouse, in 1998 a securities fraud lawsuit was filed for nearly every day that the stock markets were open. Some of these lawsuits appear to be frivolous, triggered by inevitable fluctuations in stock prices (so-called "fraud by hindsight" complaints), while others represent legitimate efforts at private enforcement of the securities laws. Disposition on the pleadings is a critical defense strategy for all securities lawsuits. Securities fraud lawsuits that withstand a 12(b)(6) motion almost always settle, regardless of the actual merits of the …

Sec Rule 14e-3 In The Wake Of United States V. O'Hagan: Proper Prophylactic Scope And The Future Of Warehousing, Jeff Lobb

William & Mary Law Review

No abstract provided.

Spawning The Sec, Henry Laurence

Indiana Journal of Global Legal Studies

No abstract provided.

Making Disclosure: Ideas And Interests In Canadian Securities Regulation, Christopher C. Nicholis

Dalhousie Law Journal

Early in her book, Professor Condon bemoans the general lack of Canadian scholarship in the area of securities regulation. Not only is there very little theoretical work in this field, she notes, but also, "even historically descriptive accounts of the Ontario Securities Commission have been notable by their infrequency" (at 15).'

United States V. Smith: The Use-Possession Debate In Sec Enforcement Actions Under § 10(B), Oriana N. Li

Washington Law Review

The U.S. Supreme Court has yet to address an underlying issue in the evolution of insider trading law: whether Rule 10b-5 liability should attach when someone trades while "in the possession of" material, nonpublic information, or whether a more stringent standard of having actually used or traded "on the basis of" such information must be met. In United States v. Smith, the Court of Appeals for the Ninth Circuit held that a violation of Rule 10b-5 requires an actual causal connection between the possession of inside information and the decision to trade in securities. This Note argues that the …

Rustic Justice: Community And Coercion Under The Federal Arbitration Act, Katherine V.W. Stone

Cornell Law Faculty Publications

Arbitration clauses are appearing in a wide variety of consumer transactions, including routine product purchase forms, residential leases, housing association charters, medical consent forms, banking and credit card applications, and employment handbooks. In the past fifteen years, the Supreme Court has reinterpreted the Federal Arbitration Act (FAA) so as to grant tremendous deference to private arbitral tribunals. By doing so, it has altered the landscape of civil litigation, taking many consumer claims out of the legal system and relegating them to private tribunals. In this Article, Professor Stone assesses the recent trend toward the privatization of civil justice in light …

Freedom Of Contract And The Securities Laws: Opting Out Of Securities Regulation By Private Agreement, Elaine A. Welle

Washington and Lee Law Review

No abstract provided.

Filing And Enforcement Under Revised Article 9, (With C. Mooney, Jr.)., Steven L. Harris

All Faculty Scholarship

No abstract provided.

How Successful Was The Revision Of U.C.C. Article 9?: Reflections Of The Reporters,(With C. Mooney, Jr.)., Steven L. Harris

All Faculty Scholarship

No abstract provided.

The Case For A European Securities Commission, Roberta S. Karmel

Faculty Scholarship

No abstract provided.

Stock Markets And The Globalization Of Retirement Savings - Implications Of Privatization Of Government Pensions For Securities Regulators, Roberta S. Karmel

Faculty Scholarship

No abstract provided.

The Limited Public Offer In German And U.S. Securities Law: A Comparative Analysis Of Prospectus Act Section 2(2) And Rule 505 Of Regulation D, David B. Guenther

Michigan Journal of International Law

This Note examines the "limited circle of persons" exception in section 2(2) of the Prospectus Act in comparison to similar provisions of U.S. federal securities law, particularly Section 3(b) of the Securities Act of 1933 (the "Securities Act") and Rule 505 of Regulation D ("Rule 505"). Comparison of the Prospectus Act to U.S. securities law seems both warranted and useful. Certain aspects of German securities law are broadly modeled on U.S. precedents. U.S. securities laws reflect more than sixty-five years of experience defining (and re-defining) public and limited public offers and private placements. U.S. securities regulators have also displayed in …

Commercial Arbitration In The U.S.: The Arbitrability Of Disputes Arising From Statute-Based Claims, Sylvie Frankignoul

LLM Theses and Essays

A leading contemporary expert in arbitration has explained: "The concept of arbitrability determines the point at which the experience of contractual freedom ends and the public mission of adjudication begins. In effect, it establishes a dividing line between the transactional pursuit of private rights and courts' role as custodians and interpreters of the public interest." 1 A major part of the arbitrability doctrine deals with the kind of claims that can fall within the scope of agreements for private dispute resolution. Arbitration clauses are an integral part of the parties' transactions. Nevertheless, the American judiciary historically has refused to enforce …

Why The Law Hates Speculators: Regulation And Private Ordering In The Market For Otc Derivatives, Lynn A. Stout

Cornell Law Faculty Publications

A wide variety of statutory and common law doctrines in American law evidence hostility towards speculation. Conventional economic theory, however, generally views speculation as an efficient form of trading that shifts risk to those who can bear it most easily and improves the accuracy of market prices. This Article reconciles the apparent conflict between legal tradition and economic theory by explaining why some forms of speculative trading may be inefficient. It presents a heterogeneous expectations model of speculative trading that offers important insights into antispeculation laws in general, and the ongoing debate concerning over-the-counter (OTC) derivatives in particular.

Although trading …

Tension On The High Seas Of Transnational Securities Fraud: Broadening The Scope Of United States Jurisdiction, Michael J. Calhoun

Loyola University Chicago Law Journal

No abstract provided.

Consideraciones Acerca Del Proyecto De Reforma Del Código Civil Y Los Contratos De Empresa, Martin Paolantonio

Martin Paolantonio

Se analizan y valoran las propuestas de la reforma proyectada en 1998, respecto de los contratos de empresa, incluyendo la etapa precontractual, reglas de interpretación y contratos con cláusulas predispuestas

La Prescripción De Las Acciones Cambiarias, Martin Paolantonio, Salvador Bergel

Martin Paolantonio

Estudio sobre la prescripción de las acciones para el cobro de títulos valores cambiarios (letra de cambio, pagaré, cheque, factura de crédito y letras hipotecarias)

La Retribución De Los Directores Y El Análisis Económico Del Derecho: Reflexiones Sobre El Caso De Las Sociedades Abiertas, Martin Paolantonio

Martin Paolantonio

Desde la perspectiva del AED, análisis crítico de las disposiciones de la ley de sociedades comerciales en materia de retribución de administradores

Las Cláusulas Abusivas En El Contrato De Emisión De Tarjeta De Crédito, Martin Paolantonio

Martin Paolantonio

Análisis de las cláusulas abusivas integrando las disposiciones de la ley 25065 de tarjetas de crédito con las normas generales de tutela al consumidor (ley 24240)

Responsabilidad Civil De Las Entidades Financieras En Las Operaciones De Crédito Al Consumo, Martin Paolantonio, Salvador Bergel

Martin Paolantonio

Tratamiento de una cuestión sustantiva en las operaciones de crédito al consumo: la tutela del consumidor ante el incumplimiento del proveedor y la pretensión de cobro del financista

Alcances De La Ley 23.928 Y Su Vinculación Con Los Contratos De Locación, Martin Paolantonio

Martin Paolantonio

Análisis del alcance de la prohibición de indexar obligaciones, a propósito de una nota a fallo de la Cámara Nacional Civil sobre un contrato de locación comercial

Prospectus Disclosure And The Role Of The Securities Commissions In Ontario And Bangladesh: A Comparative Study, Md. Anowar Zahid

LLM Theses

The fundamental difference between Ontario law and Bangladesh law is that the former is based on the combination of the disclosure theory and the "blue sky" (merit review) theory while the latter is based on the disclosure theory alone. Accordingly, the Ontario Securities Commission (OSC) exercises twofold powers: it reviews the disclosures contained in a prospectus and also determines the merit of the offering. In other words, it ensures that "full, true and plain" disclosures are made in a prospectus, and at the same time it examines the offering to see whether any element jeopardizing the public interest is present …

Shareholder Derivative Litigation And Corporate Governance, Mark J. Loewenstein

Publications

In approving settlements of derivative actions that include fees for plaintiff's attorney, courts typically announce that attorney's fees are approved if a substantial benefit is obtained. In fact, courts, particularly Delaware courts, approve settlements in shareholder derivative actions that included substantial fees for plaintiff's attorney, despite the absence of a corresponding benefit to the corporation. Frequently, the "benefit" obtained is a reform in corporate governance, which is of dubious value to the corporation. To deter frivolous litigation, courts should resist the temptation to approve these settlements just to dispose of the litigation. The paper concludes that fees should not be …

Impact Of The Capital Markets On Real Estate Law And Practice, 32 J. Marshall L. Rev. 269 (1999), Michael H. Schill

UIC Law Review

No abstract provided.