When it comes to foreclosing on collateral, secured creditors must be cognizant of the statutory requirements of Article 9 of the UCC. Article 9 has very specific rules governing the foreclosure process and the exercise of remedies. But is compliance with those rules enough to preserve a creditor’s rights in its collateral? It seems there is disagreement among courts as to the correct answer.
During times of increased market volatility, opportunities for short-term profit-taking become more prevalent. However, corporate insiders who trade in their company’s stock in such an environment may be subject to shareholder actions aimed at recovering any short-term profits they earn.
A federal district court in Miami, FL, has ruled that former National Basketball Association star Shaquille O'Neal will have to face a lawsuit over his promotion of unregistered securities in the form of cryptocurrency tokens and that he was a "seller" of these unregistered securities.
The position that short sellers should be denied the benefits of their critically important whistleblowing efforts is short-sighted and contrary to the notions of our capitalistic markets. Moreover, it will serve only to disincentive a vital constituency of the SEC Whistleblower Program, which, in turn, will degrade the effectiveness of the SEC's enforcement program.
In a unanimous victory to the securities industry, the U.S. Supreme Court curbed investor lawsuits based on a company's mere failure to disclose known trends likely to affect their revenues.
"… [T]he term 'securities contract' as used in [Bankruptcy Code] §546(e) unambiguously includes contracts involving privately held securities," The Seventh Circuit held in Petr v. BMO Harris Bank, N.A.
This article identifies certain information asymmetries in the SEC's beneficial ownership reporting rules, discusses the extent to which those information asymmetries are addressed (or not) under the SEC's recent rule amendments, and considers whether additional rule amendments or SEC guidance continue to be necessary.
In a case that could either stem or unleash a tide of investor lawsuits, the Supreme Court searched for a narrow way to rule that might still be of some value to the securities bar.
Recent decisions by the Delaware Court of Chancery demonstrate that when a special purpose acquisition company (SPAC) transaction and the disclosures surrounding it are challenged, defendants may face an uphill battle to prevail on a motion to dismiss, especially where breach of fiduciary duty claims have been asserted.
The Managed Funds Association and five other industry groups have sued the SEC over its new private fund advisers rule, saying the agency has overreached its statutory authority and interferes with contracts.
