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Fall 2025 - Demo Days: Spellbook, University Of Michigan Law School

Legal Tech Series

DEMO DAYS: Spellbook - Thursday, September 25 @ 12pm

Over 3,600 law firms and in-house teams are saving hours on contract review and drafting with Spellbook AI. Discover how practicing lawyers are using this powerful tool to draft faster, work smarter, and transform their legal workflow.
Be a step ahead of your fellow associates and join us for a live demo, free trial of Spellbook AI, and Domino's pizza!

Resources covered: Spellbook

Host: Justin Toronyi | Enterprise Account Executive

Is Confidential Supervisory Information Material To Investors? Evaluating The Conflict Between Banking And Securities Law, Peter Conti-Brown, Patrick M. Corrigan, Jeffery Y. Zhang

Law & Economics Working Papers

A central goal of modern US securities law is the transparency of corporate information through mandatory public disclosures. This goal is in tension with a central goal of banking law, namely, the practice of preserving opacity of the information exchanged between banks and bank supervisors to ensure the safety and soundness of individual banks and the entire banking system. That informational opacity in banking known as "confidential supervisory information" (CSI) applies equally to all banks, whether or not they sell securities subject to public disclosure requirements. The disclosure of CSI is prohibited by law and practice, with dire consequences for …

Facebook Decision Enables Irs To Seek - Cwi Enforcement Against Meta, Stephen L. Curtis, Reuven S. Avi-Yonah, David G. Chamberlain

Law & Economics Working Papers

In this report, the authors explain how the Tax Court's recent decision in the Facebook transfer pricing case - although widely viewed as a victory for the taxpayer, Meta Platforms Inc.- could instead be a Pyrrhic victory because it enables the IRS to pursue a potentially substantial periodic adjustment against the company. The views expressed in this report are solely the authors' and do not necessarily reflect those of any other person or institution.

Should Tax-Free Triangular Mergers Be Eliminated?, Reuven Avi-Yonah

Articles

The tax advantages of reverse triangular mergers under section 368(a)(2)(E) are well known. They enable the acquiring corporation (P) to use up to 60 percent cash consideration to acquire the stock of target (T) through a merger with a controlled subsidiary (S), with T surviving. This amount of boot is higher than what is allowed under a B or C reorganization. Because it is a triangular merger, it avoids exposing the assets of P to the liabilities of T (unlike a direct merger), and because it is equivalent to a stock acquisition, it avoids having to transfer assets, which is …

Too Scared To Use: Living Wills And Orderly Liquidation Of Too-Big-To-Fail Financial Institutions, Jeffery Y. Zhang

Law & Economics Working Papers

The term “too big to fail” became ubiquitous following the 2007-2008 Global Financial Crisis. Lawmakers, regulators, and scholars wondered if there was a better way forward than issuing an array of ad hoc bailout packages to large financial institutions. Congress, in enacting the Dodd-Frank Act, sought to address the concern by creating a new regulatory framework to resolve large financial institutions in an orderly manner.

First, Congress required too-big-to-fail institutions to file “living wills,” essentially planning documents that describe the institution’s path to a safe failure under the Bankruptcy Code—a failure that would not impact system-wide financial stability. Second, Congress …

Prosecutor Transparency Project: Racial Disparities Study (Washtenaw County, Michigan), Grady Bridges, J. J. Prescott

Law & Economics Working Papers

This report investigates and estimates racial disparities in prosecutorial decision-making in the Washtenaw County Prosecutor’s Office (WCPO) from 2017 to 2022. The analysis relies on currently available data resources at the WCPO and examines decision-making at four different junctures in the prosecutorial process: 1) case approval (i.e., warrant authorization) and charge selection, 2) habitual-offender designation (under Michigan law), 3) plea bargaining, and 4) diversion and deferral opportunities. Racial disparities appear most visibly at the earliest stages of the criminal justice process, with People of Color substantially overrepresented in the warrant requests the WCPO receives from law enforcement. The data further …

From Relic To Relevance, The Resurgence Of Tariffs, Reuven S. Avi-Yonah, Doron Narotzki, Tamir Shanan

Law & Economics Working Papers

Modern legal scholarship has largely relegated tariffs to economic analysis, overlooking their legal and policy significance. This article challenges that view by examining tariffs as a potential pillar of fiscal policy, exploring their viability as a revenue source alongside or in place of traditional income and corporate taxation. While historically central to U.S. government funding, tariffs diminished in importance with the rise of income taxation and trade liberalization. However, their recent resurgence as a tool for trade protection raises broader questions about their role in national economic strategy. This article critically assesses the feasibility of a tariff-based tax system, drawing …

Why Financial Crises Recur, Gary B. Gorton, Jeffery Y. Zhang

Law & Economics Working Papers

Financial crises have occurred around the world for over two centuries. These crises have been so costly and frequent that one wonders why governments cannot prevent them from recurring despite repeated, wide-ranging attempts at legislation, regulation, supervision, and enforcement.

In this article, we argue that lawmakers repeatedly act in two ways that may appear to be intuitive but are actually detrimental to system-wide stability. First, lawmakers fail to understand that “banks”—both traditional banks and shadow banks—produce runnable short-term debt, unlike other firms in the economy. To produce short-term debt, banks operate with opacity. Yet a regulatory framework based on secrecy …

Reasoning From Injustice, Robert L. Tsai

Michigan Journal of Race and Law

In a series of lectures at Yale Law School, the Harvard political theorist Judith Shklar critiqued leading models of justice as overly abstract and lacking a realistic account of the social dynamics that perpetuate injustice. In this essay, Professor Tsai builds on Shklar’s account of injustice as a social phenomenon by offering a structural reading of key literary texts that explore the nature of legal injustice—from the Book of Job to Harriett Beecher Stowe’s Uncle Tom’s Cabin and Frederick Douglass’s The Heroic Slave. A close reading of these texts permits us to flesh out Shklar’s observations and “give injustice …

(Re)Birth Of A Nation: Reconstruction’S Unfinished Business, Zanita E. Fenton

Michigan Journal of Race and Law

The irony, alluding to the title of the 1915 silent movie Birth of a Nation, seeks to make conspicuous the counter-stories that more authentically account for the “birth” and development of American society. Ku Klux Klan-sponsored propaganda designed to evoke hyper-racist fearmongering and perpetuate sexual paternalism over White women, the plot from Birth of a Nation reflects the paradigmatic race-bait: relentless pursuit of a White woman by a Black man. This storyline was fictionalized, culturally unrealistic and deliberately omitted the very real sexual exploitation of Black women and girls. Birth of a Nation parallels Constitutional history that marginalizes supplemental …

An In-Depth Criticism Of Shaw V. Reno, Katherine M. Perez-Oviedo

Michigan Journal of Race and Law

If I have learned one thing from my semester taking Critical Race Theory, it is that the United States Supreme Court has repeatedly issued decisions that directly impede on remedial efforts to address past racial discrimination. When the question of “how can we use the law to instill social change?” is proposed in class discussion, it is difficult to imagine a world in which the Court would support the progressive measures suggested.

Realizing Nepa’S Reasonable, Productive, And Enjoyable Harmony: The Fiscal Responsibility Act’S Amendments And Implications For Practitioners, L. Sheldon Clark, Catherine E. Kanatas, Maxwell C. Smith

Michigan Journal of Environmental & Administrative Law

The National Environmental Policy Act (NEPA), the “Magna Carta” of environmental protection, serves two important purposes: providing (1) decision makers and (2) the public with a federal agency’s assessment of the impacts that may occur from its proposed or selected course of action before the agency acts. Despite frequent criticism about NEPA reviews causing costly project delays, NEPA’s procedural requirements and framework had remained unchanged for more than 40 years. That all changed with the Fiscal Responsibility Act of 2023 (FRA). The writing on the NEPA wall is now very clear: agencies must now produce shorter NEPA analyses with a …

Noise Law, Joshua Ulan Galperin

Michigan Journal of Environmental & Administrative Law

The rumble of traffic, the drone of air conditioners, the blast of construction equipment. These are the mundane sources of noise pollution that we all experience but rarely think about. Or, if we do think about noise pollution, we don’t think of it as a central piece of federal environmental law. This Article, however, demonstrates that noise law is, or was, central to American environmental law, and it offers insights into how environmental protection and administrative governance work today.

In the 1970s, during the height of environmental activism and policymaking, lawmakers recognized noise as a serious pollutant alongside issues we …

Reclaiming Interpretation: Psgs, Asylum Law, And The Post-Loper Bright Landscape, Andrew Elkins

Michigan Journal of Environmental & Administrative Law

The Supreme Court’s 2024 decision in Loper Bright Enterprises v. Raimondo marked the end of Chevron deference, reshaping the framework that courts must use when reviewing agency interpretations of statutes. This Note examines the consequences of that doctrinal shift in the context of U.S. asylum law, where statutory ambiguity and agency discretion have long played a central role. Focusing on the “particular social group” (PSG) ground for asylum, this Note argues that Loper Bright requires courts to reclaim primary responsibility for interpreting asylum statutes. It analyzes how Chevron deference previously empowered the Board of Immigration Appeals to issue binding interpretations …

Should The Oecd Accept Gilti As A Valid Iir?, Reuven S. Avi-Yonah

Articles

On June 26 Treasury Secretary Scott Bessent announced a deal with the G7 to accept the global intangible low-taxed income tax as a valid income inclusion rule tax and not apply the undertaxed profits rule to U.S. multinational enterprises. Bessent said a “joint understanding” among the United States and other countries will be announced soon. “OECD pillar 2 taxes will not apply to U.S. companies, and we will work cooperatively to implement this agreement across the OECD-G20 inclusive framework in coming weeks and months,” Bessent wrote. Soon after, Senate Finance Committee Chair Mike Crapo, RIdaho, and House Ways and Means …

Crypto Regulation In The Time Of Trump, Lawrence J. Trautman

Michigan Technology Law Review

Donald Trump’s election as president during November 2024 results in perhaps the most dramatic philosophical change in approach to governmental regulation in over ninety years. The Great Depression of the 1930s created a need for regulatory reform and resulted in the advent of such new regulatory frameworks as the U.S. Securities and Exchange Commission (SEC). It has been the purpose of the SEC to create and nurture efficient securities markets enabling vibrant capital formation while preventing fraud upon the investing public. At issue is the contrast between the regulatory regime in place since 1933-34 and the Trump Administration’s desire to …

Remedies For Non-Disclosure In Asset Sales: Voidance Vs. Damages, Albert H. Choi, Kathryn E. Spier

Law & Economics Working Papers

This paper analyzes the problems of non-disclosure in the context of an asset sale between a buyer and a seller. The seller can have important information about the asset and can opportunistically decide not to disclose that information to the buyer, and the buyer may sue the seller ex post for remedy. The buyer and the court have a choice over different types of remedy. The paper considers three different remedy regimes: (1) no liability; (2) voidance; and (3) damages. Under voidance, the buyer can rescind the transaction (return the asset and get the price back), while with damages, the …

The “Founder’S Gaze”: How The Fourth Amendment Is A Surveillance Technology That Enables Ai To Scale Control Over The Subaltern, Diego H. Alcalá Laboy

Michigan Journal of Race and Law

Much has been written about the rise of artificial intelligence and machine learning applications and how the current Fourth Amendment law has been unable to mitigate the privacy harm that these tools produce. This article explores how the development and usage of AI and machine learning models is dependent on the originalism principles of Fourth Amendment Law. Utilizing Critical Surveillance Studies and Anticolonial Theory, I posit that the Fourth Amendment is a surveillance technology that categorizes conduct, persons, and places to impose the material conditions for the subjugation of historically minoritized communities within the United States. Furthermore, this article explores …

Proposed Cloud Services Sourcing Rule: The Right Direction, Reuven Avi-Yonah, Jeffery M. Kadet, Karen Sam

Articles

This past January, in conjunction with the issuance of a final regulation (T.D. 10022) that treats income from defined cloud transactions as income from services, Treasury and the IRS released a proposed regulation (REG-107420-24) on the sourcing of that income. In 2019 a Treasury official had asked the tax community for feedback on whether specific cloud transaction sourcing rules were needed, and the preamble to a 2019 proposed regulation asked for comments on “administrable rules for sourcing income from cloud transactions in a manner consistent with sections 861 through 865.” The feedback was “split almost evenly with regard to whether …

No Trade Wars Without Taxation -Who's To Blame, And What Comes Next?, Domenico Imparato, Reuven S. Avi-Yonah, Doron Narotzki

Law & Economics Working Papers

As tariff policy once again shapes U.S. trade strategy, this article makes a foundational claim: trade wars are, at their core, tax wars. Against the backdrop of escalating economic tensions with the United States’ trade partners, this article argues that tariffs cannot be understood apart from the fiscal architecture that sustains them. What appears to be protectionism often masks deeper structural asymmetries in the U.S. tax system.

The discussion proceeds through three interrelated dimensions: reshoring production, promoting fair trade, and raising revenue. In each, the interaction between tariffs and the tax system reveals deeper distortions. U.S. export mechanisms such as …

Merger Remedies Unbound, Dhruv Aggarwal, Albert H. Choi, Geeyoung Min

Law & Economics Working Papers

How should foundational contract law doctrines apply to corporate mergers? This Article argues that recent changes in Delaware law grant parties expansive contractual freedom to define their preferred remedies in merger agreements, untethered from the limits imposed by traditional contract law. A new provision in the Delaware corporate code permits penalty clauses in merger agreements, departing from the traditional “anti-penalty doctrine” that forbids punitive liquidated damages in contract. Delaware courts have also shown deference to specific performance provisions, treating them as presumptively enforceable commitments instead of retaining their traditional judicial discretion over the choice of remedies. Given that Delaware law …

Out Of Sight, Out Of Mind: Nearby Branch Closures And Small Business Growth, Benjamin Ranish, Andrea Stella, Jeffery Y. Zhang

Law & Economics Working Papers

Since 2010, the total number of commercial bank branches in the United States has decreased by about 20%. Do branch closures meaningfully affect economic activity? We investigate the impact of branch closures on small businesses, whose access to credit may be facilitated through local relationships with banks. Using exogenous variation in closures related to mergers and acquisitions, we show that the closure of nearby bank branches leads to decreased small business employment growth and entry while increasing business exit. Our results are robust to variations in our measure of employment, proximity, and construction of the instrument. We use subsample analyses …

Education Equity For Transgender And Gender-Diverse Persons In India: Insights Into Implementation Hurdles, Dipika Jain, Natasha Aggarwal, Kanmani Ray, Surbhi Karwa, Disha Chaudhari, Rishav Devrani

Michigan Journal of Gender & Law

Part I of this article presents international, global, and national approaches to the right to education for transgender and gender-diverse persons. It then describes the Indian approach—the NALSA judgment and the Transgender Persons Act. Finally, it provides anecdotal insight into the lived experiences of transgender and gender-diverse persons and the marginalization they face.

Part II outlines: (i) the rationale of this study, (ii) the research methodology, and (iii) the questions in the right to information requests, which have formed the basis for investigating the landscape of education rights for transgender and gender-diverse students.

Part III provides an overview of the …

One Hundred Years Of Morales Y Benet V. La Junta Local De Inscripciones: The Use Of The Insular Cases To Deny Women’S Voting Rights In Puerto Rico, Joel Andrews Cosme-Morales

Michigan Journal of Gender & Law

The centenary of

Morales y Benet provides an opportunity to reflect on the inequalities women faced under Puerto Rican colonialism in the early 20th century, shaped by the legal imperialism of the United States over the archipelago. This article explores the holding in Morales y Benet v. La Junta Local de Inscripciones and its impact on women’s lives during the last 100 years.

The decision in

Morales y Benet came at a time when women in the mainland United States had already secured the right to vote, following decades of suffrage activism that culminated in the passage of the Nineteenth …

The Expungement Process: Survey Evidence On Applicant Experiences, Mira Edmonds, J.J. Prescott, Sonja Starr, German Marquez Alcala

Articles

Tens of millions of Americans with publicly accessible criminal convictions face significant collateral consequences that affect their employment, housing, and family life, which not only harm these individuals but also limit society’s access to their skills, productivity, and participation. In response, policymakers have enlarged the scope and enhanced the accessibility of criminal-record expungement laws. Little is known, however, about how individuals perceive, navigate, and take advantage of these new, broader laws. This Article presents findings from a large-scale survey of 1,439 expungement applicants and recipients in Detroit, conducted in partnership with Project Clean Slate (PCS), a city initiative assisting residents …

Regulating The Metaverse: Reducing Diffusion Of Trader Responsibility, Hadar Y. Jabotinsky, Michal Lavi

University of Michigan Journal of Law Reform

With the emergence of the metaverse, some problems relating to trader responsibility, which had previously long been addressed, have now resurfaced and come back to life. One of these problems is the question of who should be held accountable for harm inflicted by defective or counterfeit products sold by third-party vendors in metaverse marketplaces. Under the common law, liability for defective or counterfeit products rests with the immediate seller of the product. But, unique aspects of the metaverse may make holding sellers liable unwise, difficult, or even impossible.

The law confronted a similar question after online platforms emerged. Currently, common …

Cruising Beyond Car Dealer Dominance, Piotr Tereszkiewicz

University of Michigan Journal of Law Reform

The automotive industry plays a pivotal role in both the American economy and American daily life. This means that the laws that govern the automotive industry and structure power dynamics between central players in the market also play a pivotal role in both the American economy and American daily life. One such area of law has room for improvement: laws governing the manufacturer-dealer relationship in car sales.

Although the law currently structures automotive industry power dynamics to the detriment of consumer welfare, it does not have to be this way. This Article proposes legal reforms aimed at improving consumer welfare …

Redesigning Post-Incarceration Employment Tax Credits: Making Work Opportunity Credits Work For Former Felons, Stephanie Hunter Mcmahon

University of Michigan Journal of Law Reform

Former felons have a significantly higher unemployment rate than other groups of American workers. This unemployment increases recidivism as well as broader societal problems. Consequently, Congress enacted the Work Opportunity Tax Credit to encourage employers to hire former felons (and other groups of targeted workers) by offsetting their wages. For the credit to increase employment, employers must know whether potential workers would likely qualify for the credit before hiring decisions are made. However, the growing Ban the Box Movement seeks to defer or eliminate conviction history questions in hiring. After examining the credit’s stated purpose, its operating mechanism, and some …

How Experts View The Legal System's Use Of Scientific Evidence, Shari Seidman Diamond, Richard Lempert

Articles

Legal scholars and courts frequently write about how scientific evidence is vetted and presented in legal proceedings, but the views of experts themselves have received little attention. Our research aims to fill that gap. This paper reports some of what we learned from a series of surveys we conducted, beginning with a survey in 2016 of scientists who had been elected to membership in the American Academy of Arts and Sciences.3 Subsequent surveys were directed to subscribers of the journal Science who identified as scientists and engineers and to self-identified experts who advertised their availability as experts to lawyers or …

Harms, Relationships, And The Contours Of Liability For Emotional Distress, Steven Schaus

Articles

In Reasonableness and Risk, Greg Keating argues that the law of torts is “preoccupied” with harm—with safeguarding conditions of effective agency. In this comment, I ask whether Keating’s picture can make sense of the tort claims, like loss of consortium, that provide some measure of protection to relationships—and to marriage-like relationships, in particular. It would be awful if my life partner were seriously injured or killed—a serious setback to my interests—a harm by almost any measure. But in what sense would it impair my agency, as Keating’s account of harm seems to require? I explain the force of the question …