Law Commons^™

From Tether To Terra: The Current Stablecoin Ecosystem And The Failure Of Regulators, Mary E. Burke

Fordham Journal of Corporate & Financial Law

The Tether controversy and Terra crash have placed stablecoins in the regulatory spotlight. Stablecoins are often portrayed as posing systemic risks to financial markets, with some pundits labelling them “the villain of the finance world.” Global regulatory bodies, namely the International Monetary Fund (IMF) and the Bank of International Settlement (BIS), and political leaders, including the Biden Administration, have all called for stablecoin regulation. These officials allege that stablecoins’ structure, combined with their exponential growth, pose a unique risk to global markets. Before the May 2022 Terra crash, government reports superficially treated stablecoins by exclusively focusing on asset-backed coins. Post …

Does Cryptocurrency Staking Fall Under Sec Jurisdiction?, Nicholas E. Gonzalez

Fordham Journal of Corporate & Financial Law

Bitcoin, the first blockchain and cryptocurrency (crypto), launched in 2009 when the Bitcoin network opened to the public. A blockchain is a digital ledger technology where transactions are aggregated and permanently recorded into blocks of information. Maintenance of a blockchain is typically conducted by decentralized managers who own and operate network computers (“Nodes”) and serve the functions normally handled by central intermediaries to validate and confirm transactions. All Nodes follow a blockchain protocol. In Bitcoin’s and most cryptos’ cases, this protocol is known as a Proof- of-Work protocol which requires a large amount of energy consumption. Consequently, Proof-of-Stake protocols (“PoS”) …

Here To Stay: Wrestling With The Future Of The Quickly Maturing Spac Market, Matthew Diller, Rick Fleming, Stephen Fraidin, Aj Harris, Gregory F. Laufer, Mark Lebovitch, Gregg A. Noel, Hester M. Peirce, Usha R. Rodrigues, Mike Stegemoller, Verity Winship, Douglas Ellenoff

Fordham Journal of Corporate & Financial Law

No abstract provided.

A Comment On Foohey Et Al., Steering Loan Modifications Post-Pandemic, Susan Block-Lieb

Faculty Scholarship

No abstract provided.

Designing Dupes: A Legislative Proposal For Holding Online Marketplaces Contributorily Liable For Counterfeit Goods, Gina Boone

Fordham Intellectual Property, Media and Entertainment Law Journal

With a simple click on your favorite online marketplace, any consumer can unknowingly buy counterfeit goods. Counterfeits are no longer limited to fake luxury bags on the streets of Chinatown. These dupes can be roller skates, children’s toys, and even car tires. However, counterfeit products’ impact reaches far beyond just consumer health and safety. Counterfeiting negatively affects small businesses, imposes financial burdens, and causes reputational damage. Online marketplaces are aware of the increase of counterfeit products on their websites. Yet, they continue to facilitate its growth because it is unlikely the online platforms will be held liable for the sale …

How Regulator Can Reduce Fish Mortality From Recreational Fishing, Jonathan (Jack) Agosta

Fordham Environmental Law Review

No abstract provided.

The Regulation Of Cryptocurrencies: Between A Currency And A Financial Product, Hadar Y. Jabotinsky Dr.

Fordham Intellectual Property, Media and Entertainment Law Journal

Cryptocurrencies are electronically generated and stored currencies by which users can trade either real or virtual objects with one another. As these digital assets gain popularity, the issue of how to regulate them becomes more pressing. Cryptocurrencies are attractive due in part to their decentralized, peer-to-peer structure. This makes them an alternative to national currencies which are controlled by central banks. Given that these cryptocurrencies are already replacing some of the “regular” national currencies and financial products, the question then arises—should they be regulated? And if so, how? This paper draws the legal distinction between cryptocurrencies which are in fact …

Proxy Access And Optimal Standardization In Corporate Governance: An Empirical Analysis, Reilly S. Steel

Fordham Journal of Corporate & Financial Law

According to the conventional wisdom, “one size does not fit all” in corporate governance. Firms are heterogeneous with respect to their governance needs, implying that the optimal corporate governance structure must also vary from firm to firm. This one-size-does-not-fit-all axiom has featured prominently in arguments against numerous corporate law regulatory initiatives, including the SEC’s failed Rule 14a-11—an attempt to impose mandatory, uniform “proxy access” on all public companies—which the D.C. Circuit struck down for inadequate cost–benefit analysis.

This Article presents an alternative theory as to the role of standardization in corporate governance—in which investors prefer standardized terms—and empirical …

Regulating A Revolution: From Regulatory Sandboxes To Smart Regulation, Dirk A. Zetzsche, Ross P. Buckley, Janos N. Barberis, Douglas W. Arner

Fordham Journal of Corporate & Financial Law

Prior to the global financial crisis, financial innovation was viewed very positively, resulting in a laissez-faire, deregulatory approach to financial regulation. Since the crisis the regulatory pendulum has swung to the other extreme. Post-crisis regulation, plus rapid technological change, have spurred the development of financial technology (FinTech). FinTech firms and data-driven financial service providers profoundly challenge the current regulatory paradigm. Financial regulators increasingly seek to balance the traditional regulatory objectives of financial stability and consumer protection with promoting growth and innovation. The resulting regulatory innovations include RegTech, regulatory sandboxes, and special charters. This Article analyzes possible new regulatory approaches, ranging …

The Dtsa’S Federalism Problem: Federal Court Jurisdiction Over Trade Secrets, Conor Tucker

Fordham Intellectual Property, Media and Entertainment Law Journal

The Defend Trade Secrets Act of 2016 (“DTSA”) greatly expanded federal protection of trade secrets. But how many trade secrets were “federalized”? The short answer is: many, but not all. At the heart of the DTSA lies a mammoth jurisdictional problem: Congress only federalized certain trade secrets. Unlike copyrights and patents, Congress has no independent constitutional basis to regulate trade secrets. Instead, like trademarks, trade secrets are regulated under the commerce clause and must satisfy a jurisdictional element, which requires a nexus between interstate commerce and trade secrets. But unlike trademarks, Congress chose not to legislate to the fullest extent …

Recalling The Lawyers: The Nhtsa, Gm, And The Chevrolet Cobalt, Bernard W. Bell

Fordham Law Review

This Article summarizes product safety and vehicle safety law and recounts General Motors Company’s (GM) response to the Cobalt ignition switch defect, paying particular attention to the actions of GM’s in-house and outside counsel. This Article then considers the legality and prudence of a regulatory agency’s imposition of gatekeeping responsibilities on such counsel.

The Laws Of Agency Lawyering, George M. Cohen

Fordham Law Review

The great variety of agency rules governing lawyers raises interesting questions that are worth exploring. This Article begins that exploration. Part I lays the groundwork by briefly examining how the ABA Model Rules treat regulatory lawyering to raise the question of what regulatory gaps the agency rules might be expected to fill. Part II sets forth several possible theories of agency rule variation. Part III compares agency rules along a number of dimensions, examines some similarities and differences across agencies as well as between the agency rules and the Model Rules, and offers speculations about what may be driving the …

A Single Call: The Need To Amend The Parent-Subsidiary Relationship Under The Ftaia In View Of Motorola Mobility, Catherine E. Cognetti

Fordham Journal of Corporate & Financial Law

In Motorola Mobility, LLC v. AU Optronics Corporation, the Seventh Circuit dismissed Motorola’s Sherman Act claims under the Foreign Trade Antitrust Improvement Act. In doing so, they held that Motorola’s American parent corporation was a separate entity from their foreign subsidiaries, and thus barred from bringing suit under the indirect purchaser doctrine. The effect of the Seventh Circuit’s decision precluded injured purchasers from recovering damages under the Sherman Act—Motorola’s subsidiaries could not sue because their injuries occurred abroad, while Motorola could not sue because it did not make direct purchases from the antitrust violators.

Courts have often considered a parent …

Importing Energy, Exporting Regulation, James W. Coleman

Fordham Law Review

This Article identifies and addresses a growing contradiction at the heart of United States energy policy. States are the traditional energy regulators and energy policy innovators—a role that has only grown more important without a settled federal climate policy. Federal regulators and market pressures, however, increasingly demand integrated national and international energy markets. Deregulation, the rise of renewable energy, the shale revolution, and new sources of motor fuel precursors like crude and ethanol have all increased interstate energy trade.

This Article shows how integrated national energy markets are driving states to regulate imported fuel and electricity based on how it …

A Busted Flush: Regulation Of Online Gambling In The European Union, Katherine A. Lovejoy

Fordham International Law Journal

No abstract provided.

Multijurisdictional Practice And Alternative Legal Practice Structures: Learning From Eu Liberalization To Implement Appropriate Legal Regulatory Reforms In The United States, Melissa Pender

Fordham International Law Journal

No abstract provided.

Lessons From The Flash Crash For The Regulation Of High-Frequency Traders, Edgar Ortega Barrales

Fordham Journal of Corporate & Financial Law

Are equity markets vulnerable to a sudden collapse if the traders who account for about half of the volume have no regulatory obligations to stabilize prices? After the “Flash Crash” of May 6, 2010, policymakers have resoundingly answered this question in the affirmative. During the worst of the crash, some of the so-called high-frequency trading firms that dominate equity markets stopped trading and prices collapsed, momentarily wiping out almost $1 trillion in market value. In response, the U.S. Securities and Exchange Commission is considering whether high-frequency trading firms should be required to act as the traders of last resort. This …

Simultaneous Distress Of Residential Developers And Their Secured Lenders An Analysis Of Bankruptcy & Bank Regulation , Sarah Pei Woo

Fordham Journal of Corporate & Financial Law

No abstract provided.

The Tenth Annual A. A. Sommer, Jr. Lecture On Corporate, Securities, & Financial Law, Elisse B. Walter

Fordham Journal of Corporate & Financial Law

No abstract provided.

Responding To The Subprime Mess: The New Regulatory Landscape, David Schmudde

Fordham Journal of Corporate & Financial Law

No abstract provided.

Disclosure, Deception, And Deep-Packet Inspection: The Role Of The Federal Trade Commission Act's Deceptive Conduct Prohibitions In The Net Neutrality Debate, Catherine J. K. Sandoval

Fordham Law Review

This article examines a largely unexplored fronteir in the "Net Neutrality" debate: the Federal Trade Commisiion (FTC) Act's proscriptions against deceptive conduct as a legal limit on Internet Service Provider (ISP) discrimination against Internet traffic. ISP discrimination against certain types of Internet traffic has blossomed since 2005 when the Federal Communications COmmission (FCC), with the Supreme Court's blessings in NCTA v. Brand X and FCC, relieved ISP's from common carrier regulations that prohibited discrimination and reclassified ISPs as "information service providers." This Artcile argues taht the Internet's architecture and codes presumed common carriage, indicating that the Internet's design and industry …

Hedge Funds, Liquidity And Prime Brokers, Nathan Bryce

Fordham Journal of Corporate & Financial Law

No abstract provided.

Federal Regulation And Legislation In The Wake Of The Subprime Mortgage Meltdown: A Legal Philosophical Analysis Of Federal Government Responses To Market Bubbles, Joshua Wirth

Fordham Journal of Corporate & Financial Law

No abstract provided.

Waging War With Wal-Mart: A Cry For Change Threatens The Future Of Industrial Loan Corporations, Zachariah J. Lloyd

Fordham Journal of Corporate & Financial Law

No abstract provided.

Securities Regulation In Low-Tier Listing Venues: The Rise Of The Alternative Investment Market, Jose M. Mendoza

Fordham Journal of Corporate & Financial Law

No abstract provided.

Attorneys As Debt Relief Agencies: Constitutional Considerations, Marisa Terranova

Fordham Journal of Corporate & Financial Law

No abstract provided.

The Antitrust Aspects Of Bank Mergers - Panel Discussion Ii: Consumer Issues, Carl Felsenfeld, Duncan Macdonald, Jeffrey Shinder, Robert Manning

Fordham Journal of Corporate & Financial Law

No abstract provided.

Regulating Direct-To-Consumer Genetic Testing: Protecting The Consumer Without Quashing A Medical Revolution, Jennifer A. Gniady

Fordham Law Review

This Note examines the existing gaps in regulating genetic tests that are sold directly to consumers and the arguments for and against greater regulation. It advocates adopting an approach that shores up existing regulation of the accuracy of genetic tests under the Food and Drug Administration and Clinical Laboratory Improvement Amendment, while continuing to promote an open market for selling tests directly to consumers. The Note looks to a variety of additional mechanisms for providing further consumer protections such as incentives for voluntary participation in the Food and Drug Administration approval process, an expanded watchdog role for professional organizations, and …

From T-Shirts To Teaching: May Public Schools Constitutionally Regulate Antihomosexual Speech?, Amanda L. Houle

Fordham Law Review

In applying the First Amendment in the public school context, courts are faced with the challenge of balancing the constitutional rights of students against the discretion of schools to control speech and conduct on school grounds. This Note focuses on the specific issue of public schools regulating antihomosexual speech. Evaluating the First Amendment rights of students expressing antihomosexual sentiment through private and school-sponsored mediums, this Note ultimately argues for a comprehensive standard permitting schools to regulate both private and school-sponsored student speech.

The New Antifraud Rule: Is Sec Enforcement The Most Effective Way To Protect Investors From Hedge Fund Fraud?, Kathleen E. Lange

Fordham Law Review

Hedge Funds have consistently grown in both size and influence. Traditionally, hedge funds escaped regulation because access was limited to the wealthy and sophisticated. However, due to inflation, the wealth threshold has become more attainable to less sophisticated investors. Also, an increasing number of pension funds and other institutional investors have begun to invest a significant portion of their money in hedge funds. This increased growth, combined with the "retailization" of the industry, has led to concern over whether investors are adequately protected from the corresponding growth in hedge fund fraud. This Note argues that, absent new legislation, the SEC …