Preventing Conflicts Between Secured Creditors and Franchisors
A franchisor has rights and remedies that a secured creditor is not granted under the UCC, but the franchisor, by becoming a competing secured creditor, does not necessarily advance its rights and remedies in a default situation. The inter-creditor agreement and remarketing agreement are alternatives to maximize recoveries and reduce conflicts by cooperation, rather than by litigation.
Compliance Now More Than Ever
In a profit- and loss-driven world, there is always a risk that companies facing an uncertain economic future may choose to cut compliance expenses," SEC Chairman Christopher Cox noted last November at the SEC's Compliance Officer Outreach National Seminar. Then he issued a stern warning: "When a company cuts compliance, violations will occur. And if violations occur, punitive actions should and will be taken."
Consumer Product Industry, Take Note
A new federal whistleblower law will likely result in consumer product manufacturers, distributors and retailers facing expensive and lengthy litigation from current or former employees who recast themselves as whistleblowers to challenge adverse employment actions. There are a number of steps employers should take to protect themselves from this expected wave of new litigation.
Giving 'Til It Hurts
Even with firm cuts and layoffs, no firm can afford to give up a community-related giving practice. It can, though, and should be, controlled.
The Whole Foods Antitrust Saga
A couple of years ago few people would have thought that a socially conscious company that specializes in selling organic groceries would find itself in a knock-down, drag-out brawl with the Federal Trade Commission. But that's just what has unfolded as a result of the FTC's challenge of the merger between Whole Foods Market, Inc. and Wild Oats Markets, Inc.
DOJ Antitrust Division Answers Questions Under Leniency Program
the Department of Justice Antitrust Division ("Division") recently issued an interesting policy paper that clarifies its position on certain issues under the leniencyprogram, which positions previously may have been known only to those who practice regularly in the field of criminal antitrust.
When Bankruptcy And Equity Collide
In <i>Ades and Berg Group Investors v. Breeden</i> (<i>In re Ades and Berg Group Investors</i>), the court of appeals affirmed a decision below refusing to impose a constructive trust on proceeds from a settlement of reinsurance claims that were paid to a Chapter 11 debtor. According to the Second Circuit, "retention by the bankruptcy estate of assets that, absent bankruptcy, would go to a particular creditor is not inherently unjust."
