Business Organizations Law Commons^™

Southern States Chemical, Inc. Et Al., Order Granting Defendant Tampa Tank & Welding, Inc.'S Motion To Dismiss, Eric A. Richardson

Superior Court of Fulton County: Metro Atlanta Business Case Division Opinions

No abstract provided.

How Discretionary Decision-Making Impacts The Financial Performance And Legal Disclosures Of S&P 500 Funds, Bernard S. Sharfman, Vincent Deluard

Brooklyn Law Review

When investment funds track the S&P 500, the index becomes more than just a list of 500 companies. The focus then becomes the financial and regulatory issues that arise from the discretionary decision-making power of the Index Committee that governs the S&P 500. Based on our empirical research and analysis, this article recommends a new principal risk disclosure under SEC Form N-1A, which we refer to as “selection risk,” to be included in the statutory and summary prospectuses of investment funds that track the S&P 500. This type of risk results when the Index Committee uses its discretionary decision-making power …

Esg And The Sec, Christopher Bruner

Popular Media

This piece is a review of an article by Virginia Harper Ho titled Modernizing ESG Disclosures, 2022 U. Ill. L. Rev. 277. Bruner is a contributing editor to JOTWELL’s Corporate Law section.

Corporate Directors: Who They Are, What They Do, Cyber Risk And Other Challenges, Lawrence J. Trautman, Seletha Butler, Frederick R. Chang, Michele Hooper, Rom Mccray, Ruth Simmons

Buffalo Law Review

No abstract provided.

Madison Investment, Property And Advisory Company Limited V Peter Kanyinji [2018] Zmsc 348 (Scz Selected Judgement No. 48 Of 2018), Ntemena Mwanamwambwa

SAIPAR Case Review

The case at hand brings to the fore, a number of important matters relating to the treatment of a company which has a controlling shareholding in another while at the same time belonging to the same group of companies as the latter.

The case is particularly important to the jurisprudence of Zambian Company law as it endorses the sacredness of the veil over group structures in maintaining investor confidence and preventing the economic liabilities that would unsuspectingly befall local as well as multinational companies operating within a group structure.

Madison Investment, Property And Advisory Company Limited V. Peter Kanyinji Scz Selected Judgment No. 48 Of 2018, Chanda Chungu

SAIPAR Case Review

The Managing Director of Perfect Milling Company was entitled to 25% gratuity of his basic salary at the end of his term as Managing director. However, when he launched a claim against Perfect Milling Company, the company was in bankruptcy and unable to pay. He then sued Madison Investment, claiming that they operated as a single economic unit under the Madison Group of Companies.

The High Court in a judgment delivered by Banda-Bobo J (as she was then) held that notwithstanding the principle that companies have a separate legal identity, the court is empowered to pierce it in certain circumstances …

The Unfortunate Role Of Special Litigation Committees In Llcs, Donald J. Weidner

Scholarly Publications

Recent LLC acts adopt the rule developed for public corporations that most owner claims against managers or other owners are merely derivative rather than direct, and give the firm the right to appoint special litigation committees (SLCs) to decide how to dispose of derivative claims. The imposition of the complexities of derivative litigation upon closely held LLCs imposes significant transaction costs that cannot be spread and that typically serve no purpose. It is also contrary to the presumptive intent of members, who presumably expect to be treated as contracting parties with the normal remedies for breach, as in the case …

Corporations As Private Regulators, Wentong Zheng

UF Law Faculty Publications

The growing trend of corporations imposing restrictions on suppliers, contractors, and customers beyond the requirements of existing laws requires rethinking the nature and impact of corporations' private regulatory power. This trend, which this Article refers to as "Corporations as Private Regulators" (CPR), represents a paradigmatic shift in how corporations participate in the making of public policies. This Article conceptualizes the corporate CPR power as the exercise of a right of refusal to deal with counterparties. This right of refusal could be theorized as a new form of property right, whose allocation has important implications for both rights and wealth. The …

The Legal And Social Challenges Involved In The Expansion Of Multinational Operations: A Case Study Of Exxonmobil Indonesia, Shashaank Rajaraman

Senior Theses

Within this paper, I will analyze the legal and social relations between multinational corporations and their host countries. This analysis will be conducted through viewing the circumstances surrounding Doe v. ExxonMobil within the District of Columbia Circuit Court, in which ExxonMobil has engaged in litigation regarding their human rights record within the country of Indonesia. Through secondary research conducted both within business and legal journals, information about the practices of ExxonMobil can be examined and utilized to make general conclusions upon the corporate diplomacy practiced by multinational corporations.

Family Feuds And Circuit Splits: A Clash Between Corporate Cousins Causes The Eleventh Circuit To Revisit The “Long-Lost” Burford Abstention Doctrine, William Wheeler

Mercer Law Review

Corporate litigation is often a highly complex process. The rules and regulations surrounding shareholder demands, derivative lawsuits, review committees, and corporate dissolution create a convoluted procedural web that can be exceedingly difficult to untangle. Due to this complexity, federal court is an attractive choice for many civil litigants; federal forums have predictable and established rules of procedure and federal judges tend to have more time to give each case individualized consideration. These factors can accelerate and smooth the litigation process. However, throughout the last two decades, litigants in corporate dissolution actions have had no choice but to seek relief in …

Substituted Service And The Hague Service Convention, William S. Dodge

William & Mary Law Review

State law plays a surprisingly large role in transnational litigation, and how it defines the applicability of the Hague Service Convention is an important example. In Volkswagenwerk Aktiengesellschaft v. Schlunk, the U.S. Supreme Court held that the Convention does not apply when, under state law, service of process is made within the United States. In Schlunk, Illinois law permitted substituted service on the U.S. subsidiary of a foreign parent company, so the Convention did not apply. This Article looks at substituted service under state law today and when it permits avoidance of the Hague Convention. The Article focuses …

I Have To Tell Them What? The New Corporate Transparency Act And Forming Business Entities In Virginia, James J. Wheaton, Gustavo De La Cruz Reynozo

Faculty Publications

The details and requirements of business entity formation traditionally have been solely the province of state law. Most states, such as Virginia, maintain corporate annual report filing requirements that involve the public disclosure of corporate officers and directors. However, these requirements focus on active managers of the entities, not information about beneficial ownership. The recently enacted Corporate Transparency Act ("CTA") will fundamentally change entity disclosure on the national level.

The CTA was part of the fiscal year 2021 National Defense Authorization Act and seeks to aid national security and crime fighting through a national registry of beneficial owners of business …

The Economic (In) Significance Of Executive Pay Esg Incentives, David I. Walker

Faculty Scholarship

The hottest topic in corporate governance circles today involves company commitments to and pursuit of ESG (environmental, social, and governance) initiatives in addition to the traditional pursuit of profits. One facet of this debate has to do with how to motivate executives to pursue ESG goals. Increasingly, companies tie executive pay to ESG performance, although even strong ESG advocates debate the advisability of doing so. This Article joins the fray by closely examining ESG-based CEO pay arrangements at a subset of companies with leadership positions on the Business Roundtable, an industry trade group that embraced ESG in a 2019 statement …

International M&A And Joint Ventures, Renata Antiquera, Alexandre Beçak David, Gordon N. Cameron, Elyse Velagic, Francisco Ugarte, Luciano Aguilera, Dr. Hermann J. Knott, Alessandra Tarissi De Jacobis, Claudio Corba Colombo, Eva Das, Frederik De Hosson, Vassily Rudomino, Anton Dzhuplin, Amgad T. Husein, Jonathan Burns, Adrienne Ellman, Joseph J. Basile

The Year in Review

No abstract provided.

The Sec's Ice-Cold Take On Climate Disclosure: Is The 2010 Interpretive Climate Guidance Working?, Patrick Dunbar

Villanova Environmental Law Journal (1991 - )

No abstract provided.

Toxic Public Goods, Brian L. Frye

Maine Law Review

Everybody loves public goods. After all, they are a perpetual utility machine. Obviously, we want as many of them as possible. But what if the consumption of a public good actually decreases net social welfare? I refer to this kind of public good as a "toxic public good." In this essay, I discuss three kinds of potential toxic public goods: trolling, pornography, and ideology, and I reflect on how we might make the production of toxic public goods more efficient.

Big Little Lies: How Loopholes In The Small Business Act Allow Large Businesses To Profit, Halley Townsend

Washington and Lee Law Review Online

The Small Business Administration (SBA) was established by Congress to create and administer programs to help small businesses compete in the national economy. But far too often, large, sophisticated firms profit from SBA programs meant to assist the little guy. Currently, Congress legislates specific programs tailored towards one type of small business, and the SBA is responsible for implementing the program. This process has resulted in loopholes in the SBA’s enabling act that permit powerful businesses to qualify for SBA programs. This result is the opposite of what Congress intended.

Part II provides background and the history of the SBA. …

Business, Human Rights, & The Triple Planetary Crisis: Confronting Overconsumption, Sara Seck

Articles, Book Chapters, & Popular Press

According to the United Nations, the world is facing a triple planetary crisis of climate change, nature (biodiversity) loss, and pollution and waste, with the most egregious consequences felt by those least responsible. These crises are also intertwined: nature-based solutions are promoted as climate change solutions even as heat domes fuel forest fires; extraction of minerals for green energy solutions negatively impacts biodiversity and creates pollution and waste; and carbon major companies are also among the largest producers of plastic pollution. International human rights law is increasingly grappling with environmental rights and responsibilities, as evidenced by the work of special …

No Need For Asia To Be Woke - Responsible Capitalism Through An Asian Lens, Dan W. Puchniak

Research Collection Yong Pung How School Of Law

LARRY Fink's 2018 proclamation that every company must show "how it makes a positive contribution to society" ostensibly woke American CEOs to the need for companies to fulfil a societal purpose beyond profit maximisation. The American Business Roundtable's 2019 commitment that a business should no longer be run purely for profit is cited as another woke moment for American CEOs to the new reality that corporate purpose matters. However, just as the sun rises first in Asia, there is no need for Asia's CEOs to be woke to the reality that corporate purpose matters.

Third Time’S The Charm: Remedying The Lack Of Uniformity And Predictability In Trade Secret Law, Matthew D. Kasner

Brooklyn Law Review

The current legal framework governing trade secrets in the United States lacks the uniformity and predictability necessary to protect businesses. As a result, trade secret litigation has been on the rise over the course of the last decade. Whilst remote work becomes more ubiquitous, even beyond the COVID-19 pandemic, litigation will continue to increase as businesses are forced to entrust confidential information with remote workers. This note examines the current US trade secret scheme, exposes the current framework’s deficiencies, and suggests a “trade secret formalities model” to make for a more organized and efficient doctrine of law. More specifically, this …