Last month, we discussed the “lore” that counsel must rely upon when tackling FCPA enforcement actions. A concrete example of the establishment of FCPA lore is useful when discussing how the lack of judicial precedent in these cases puts corporations and their counsel at a disadvantage.
LAW vs. LORE: The Lack of Judicial Precedent in FCPA Cases
The SEC has pursued FCPA enforcement actions against companies that make contributions to charities to curry favor with foreign officials, who oversee awards of government contracts and "hint" that a contribution to such a worthy organization would be welcome.
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