Banking and Finance Law Commons^™

Challenges Under Truth In Lending: Suing For Rescission, Giving Clear And Conspicuous Notice, And Electing Not To Rescind, Elwin Griffith

Akron Law Review

This Article reveals that the uniformity sought by Congress through TILA has challenged the courts to clarify the relationship between a notice of rescission and a suit for rescission, the relevance of the consumer’s ability to tender the loan principal, and the difficulty of recognizing a creditor’s attempt to accommodate a consumer’s premature election not to cancel a transaction.

Loan Workouts, Superfund, And Lender Liability: De Minimis Settlements - The "Magic Bullet"?, Timothy J. Szuhaj

Akron Law Review

This article will focus on whether there is a practical solution for reconciling this clash between creditors' rights and environmental liability. In an effort to provide a tangible basis for critical analysis, the following hypothetical situation will be employed throughout this article. This hypothetical is intended to demonstrate a generic two party loan situation. Although this model may be an oversimplification, its basic assumptions adequately provide the basis for analysis.

A.E. Staley Maunufacturing Co. V. Commissioner: Life After Indopco: Tax Treatment Of A Target Corporation's Unsuccessful Hostile Tender Offer Defense Fees, Corinne E. Anderson

Akron Law Review

One specific concern was whether the INDOPCO decision represented a per se rule that takeover-related expenses must always be capitalized. The recent Seventh Circuit decision of A.E. Staley Manufacturing Co. v. Commissioner appears to have answered this question in the negative. In Staley, the Court of Appeals held that the majority of investment banker fees paid in an unsuccessful attempt to defeat a hostile tender offer were deductible as "ordinary and necessary" business expenses. Alternatively, those expenses allocable to the company's unsuccessful efforts to engage in alternate transactions were deductible as "abandoned transactions. ' However, fees paid by Staley to …

Ots Vs The Bar: Must Atorneys Advise Directors That The Directors Owe A Duty To The Depository Fund?, Susan Saab Fortney

Susan S. Fortney

This article explores the liability of attorneys representing depository institutions. Part I of this article introduces the controversy over the proper role of bank counsel following the bank and thrift crisis. Part II discusses the first Office of Thrift Supervision (OTS) actions against attorneys. Part III considers the emerging theory of liability based on counsel’s duty to advise directors on their duties to depositors and the depository fund. In Part IV, a comparison of the experience of the securities bar to that of the banking bar demonstrates how the government’s enforcement activity has already changed attorney’s perceptions of their role …

Buckley V. Valeo, Political Disclosure And The First Amendment, Trevor Potter

Akron Law Review

Put differently, the reality is that disclosure’s constitutional status is unclear. The Supreme Court’s jurisprudential framework is often unpredictable. Even when the Court has been consistent in choosing a formal framework with which to approach disclosure laws, it has been inconsistent and unpredictable in applying that framework. To be sure, this issue takes on particular urgency in light of the importance both sides in the campaign finance debate attach to disclosure of campaign spending (however differently defined), and the existence of the Internet as a vehicle for immediate mass dissemination of information required to be reported. Accordingly, providing an overview …

Challenging Buckley V. Valeo: A Legal Strategy, John C. Bonifaz, Gregory G. Luke, Brenda Wright

Akron Law Review

In its 1976 ruling in Buckley v. Valeo, the United States Supreme Court sanctioned a system of unlimited campaign spending in federal elections. Since that ruling, this nation has witnessed an explosion of political expenditures. The 1996 election cycle marked the most expensive election in U.S. history, with congressional and presidential candidates spending a total of more than $2 billion. Campaign spending has also dramatically risen in state and local elections across the country. Unlimited spending poses a serious threat to our democratic process. It undermines public confidence in our elections and in our democratic institutions. It presents an increased …

Detection Of Mycobacterium Ulcerans In The Environment Predicts Prevalence Of Buruli Ulcer In Benin, Heather R. Williamson, Mark Eric Benbow, Lindsay P. Cambell, Christian R. Johnson, Ghislain Sopoh, Yves Barogui, Richard W. Merritt, Pamela L. C. Small

Christian A. Johnson

Background: Mycobacterium ulcerans is the causative agent of Buruli ulcer (BU), a destructive skin disease found predominantly in sub-Saharan Africa and south-eastern Australia. The precise mode(s) of transmission and environmental reservoir(s) remain unknown, but several studies have explored the role of aquatic invertebrate species. The purpose of this study was to investigate the environmental distribution of M. ulcerans in south-eastern Australia.

Regulatory Arbitrage, Extraterritorial Jurisdiction, And Dodd-Frank: The Implications Of Us Global Otc Derivative Regulation, Christian Johnson

Christian A. Johnson

No abstract provided.

Assessing A Decade Of Interstate Bank Branching, Christian A. Johnson, Tara Rice, Ph. D.

Christian A. Johnson

Since its inception, US. banking regulation has effectively prohibited a bank from opening or owning a branch located outside of its home state, commonly referred to as interstate branching. Only since the passage of the Riegle-Neal Interstate Banking and Branching Efficiency Act (IBBEA) of 1994 have banks been able to engage in interstate branching, albeit still subject to significant state restrictions. Despite IBBEA 's removal of those barriers, it still allowed the states to impose anticompetitive restrictions governing the entry of out-of-state banks through the establishment of branch offices. As a result, states that were opposed to entry used IBBEA …

Summary Of C. Nicholas Pereos, Ltd. V. Bank Of America, N.A., 131 Nev. Adv. Op. 61553 (July 2, 2015), Stacy Newman

Nevada Supreme Court Summaries

The Court considers an appeal from a district court summary judgment in a tort case concerning losses sustained due to unauthorized activity in a customer’s bank account. The Court reversed the grant of summary judgment because genuine issues of material fact exist regarding whether respondent Bank of America acted reasonably in delivering bank statements, and also because the appellant’s suit was not time barred under a one year period of repose.

Recursive Collective Actions Problems: The Structure Of Procyclicality In Financial And Monetary Markets, Macroeconomies And Formally Similar Contexts, Robert C. Hockett

Cornell Law Faculty Publications

The hallmark of a collective action problem is its aggregating multiple individually rational decisions into a collectively irrational outcome. Arms races, “commons tragedies” and “prisoners’ dilemmas” are well-known, indeed well-worn examples. What seem to be less widely appreciated are two complementary propositions: first, that some collective action problems bear iterative, self-exacerbating structures that render them particularly destructive; and second, that some of the most formidable challenges faced by economies, societies, and polities are iteratively self-worsening problems of precisely this sort. Financial markets, monetary systems and macroeconomies in particular are rife with them – as are other complex systems subject to …

The Role Of Central Banks In Global Austerity, Timothy A. Canova

Indiana Journal of Global Legal Studies

The literature on austerity, by scholars and policymakers alike, has largely downplayed the important role of central banks in designing and implementing global austerity both before and since the 2008 financial crisis. This article considers how and why the world's leading central banks display an inherent bias toward austerity. As central banks have become increasingly influenced and even captured by large private banks and financial institutions, they have pursued policy agendas that favor those same private interests. The structure of the U.S. Federal Reserve suggests a central bank that has been captured by design and is rife with inherent conflicts …

Custodial Collies Of Transparency-The Competitive Advantage Of Protecting Investing Lamm[Bs] From Advising Wolves: Lamm V. State Street Bank & Trust, Steven L. Jones

Mercer Law Review

Unscrupulous investment advisers who defraud their unsuspecting clients are increasingly prevalent in our society. Consequently, investors must be increasingly vigilant to protect themselves from such individuals. A custodial bank is one way investors can prevent mismanagement and misuse of funds and securities they entrust to financial advisers. However, the United States Court of Appeals for the Eleventh Circuit opinion Lamm v. State Street Bank & Trust illustrates that the mere presence of a custodial bank does not adequately insulate investors from fraudulent adviser activity. Under current Securities and Exchange Commission (SEC) regulations, specifically 17 Code of Federal Regulations (C.F.R.) Section …

Legal Challenges In The Global Financial Crisis, Christian Johnson

Christian A. Johnson

Finding A Financial Planner, Emily G. Brown Jd

Pension Action Center Publications

This fact sheet provides information on how to find the right financial planner to help you meet your retirement planning goals. This fact sheet suggests things to consider prior to picking a financial planner and answers questions like:

• What do financial planners do?
• How do you know if you need a financial planner?
• How do you find the right financial planner?
• What type of professional title does a financial planner have?

Franchisees In A Fringe Banking World: Striking The Balance Between Entrepreneurial Autonomy And Consumer Protection, Robert W. Emerson

Akron Law Review

This Article considers fringe banking issues—the gaps or problems in service for both individuals and businesses when the usual banking channels are impractical or even unavailable. Some people may only have recourse to the robust, but often very expensive and less protected, financial products sold for what is, or is supposed to be, a very shortterm basis. The Article first examines the fringe banking world, but ultimately considers whether and how consumer protections are needed for franchisees. Small businesses, including franchisees, are often the forgotten players in the fringe economy. If a franchise actually engages in selling fringe banking products, …

Not So Secure: Should Social Security Benefits Be Considered In The Good Faith Analysis Under 11 U.S.C. § 1325(A)(3)?, Casey J. Davis

Akron Law Review

Part II of this Comment provides background information about Chapter 13 bankruptcy. This section is important because it provides a foundation for the remainder of this Comment. Part III of this Comment explores the source of this split and how the Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 (“BAPCPA”) has affected this issue. Within Part III, this Comment will discuss why Congress enacted BAPCPA, the largest overhaul of bankruptcy law since its origin, and why BAPCPA did not affect the good faith requirement under § 1325(a)(3) even though BAPCPA drastically altered bankruptcy law. In addition, this section also …

An Approach To The Regulation Of Spanish Banking Foundations, Miguel Martínez

Miguel Martínez

The purpose of this paper is to analyze the legal framework governing banking foundations as they have been regulated by Spanish Act 26/2013, of December 27th, on savings banks and banking foundations. Title 2 of this regulation addresses a construct that is groundbreaking for the Spanish legal system, still of paramount importance for the entire financial system insofar as these foundations become the leading players behind certain banking institutions given the high interest that foundations hold in the share capital of such institutions.

Public Actors In Private Markets: Toward A Developmental Finance State, Robert Hockett, Saule Omarova

Saule T. Omarova

The recent financial crisis brought into sharp relief fundamental questions about the social function and purpose of the financial system, including its relation to the “real” economy. This Article argues that, to answer these questions, we must recapture a distinctively American view of the proper relations among state, financial market, and development. This programmatic vision – captured in what we call a “developmental finance state” – is based on three key propositions: (1) that economic and social development is not an “end-state” but a continuing national policy priority; (2) that the modalities of finance are the most potent means of …

Bankruptcy Law As A Liquidity Provider, Kenneth Ayotte, David Skeel

Kenneth Ayotte

Since the outset of the recent financial crisis, liquidity problems have been cited as the cause behind the bankruptcies and near bankruptcies of numerous firms, ranging from Bear Stearns and Lehman Brothers in 2008 to Kodak more recently. This paper expands the prevailing normative theory of corporate bankruptcy — the Creditors’ Bargain theory — to include a role for bankruptcy as a provider of liquidity. The Creditors’ Bargain theory argues that bankruptcy law should be limited to solving problems caused by multiple, uncoordinated creditors, but focuses almost exclusively on the problem of creditor runs. We argue that two well-known problems …