Author Archives: Harvard Law School Forum on Corporate Governance and Financial Regulation

Berkeley Transactional Practice Survey

It is hard to gainsay the observation that business law practice has evolved significantly over the last three decades. Fields as distinct as corporate, securities and mergers and acquisitions law have substantially merged with a host of traditional “business school” topics, such as accounting, finance, strategy, project management and risk analysis. Although some law schools […]

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2013 Delaware Decisions and What They Mean For 2014

Delaware’s Leading Role in Business and Business Litigation Delaware has long been known as the corporate capital of the world. It is the state of incorporation for 64 percent of the Fortune 500 and more than half of all companies whose securities trade on the NYSE, Nasdaq and other exchanges. Its preeminence in business law […]

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Posted in Court Cases, Mergers & Acquisitions, Practitioner Publications, Securities Litigation & Enforcement | Tagged , , , , , , | Comments Off on 2013 Delaware Decisions and What They Mean For 2014

Corporate Governance and Great Recession: Germany’s Success in the Post-2008 World

Capitalism is abundant in contradictions that result in the production of crises. During such crises capital goes through devaluations that give rise to unemployment, bankruptcies and income inequality. The ability of a nation to resist the forces of devaluation depends on the array of institutional or spatio-temporal fixes it possesses, which can buffer the effects […]

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Posted in Academic Research, Comparative Corporate Governance & Regulation, Financial Crisis, International Corporate Governance & Regulation | Tagged , , , , , , , , , | Comments Off on Corporate Governance and Great Recession: Germany’s Success in the Post-2008 World

Majority Voting Finally Arrives in Canada

Thursday February 13, 2014 was an important day for shareholder democracy in Canada. We know that athletes train many years in order to reach the Olympics, but the Canadian Coalition for Good Governance (CCGG) also has worked publicly and behind the scenes for many years to bring majority voting to Canada. Finally, last week the […]

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Posted in Boards of Directors, Corporate Elections & Voting, International Corporate Governance & Regulation, Practitioner Publications | Tagged , , , , , , | 1 Comment

The Foundations of Corporate Social Responsibility

A fundamental issue in business and economics is the sustainability—and not merely the growth—of economic development, which crucially hinges on the socially responsible operational and investment behavior of modern corporations (Porter, 1991). There is a widespread recognition, as well as growing empirical evidence, that corporate social responsibility (CSR) can substantially contribute to social progress and […]

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Bleeders and Leaders: Redefining the 2014 M&A Banking Market

Many factors drive banks toward acquisitions, including increasing efficiency due to size, loan/deposit growth opportunities, or expansion of geographical footprints. However, one consideration is always dominant—improving return on investment, or ROI. Whether short, intermediate, or long-term, ROI is the most critical factor in the M&A decision. Prior to the recession, bank M&A had settled into […]

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Posted in Banking & Financial Institutions, Financial Regulation, Mergers & Acquisitions, Practitioner Publications | Tagged , , , , , , | Comments Off on Bleeders and Leaders: Redefining the 2014 M&A Banking Market

Merger Negotiations with Stock Market Feedback

In our paper, Merger Negotiations with Stock Market Feedback, forthcoming in the Journal of Finance, we investigate whether pre-bid target stock price runups increase bidder takeover costs—an issue of first-order importance for the efficiency of the takeover mechanism. We base our predictions on a simple model with rational market participants and synergistic takeovers. Takeover signals (rumors) received […]

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SEC Investigations and Enforcement Related to Financial Reporting and Accounting

“One of our goals is to see that the SEC’s enforcement program is—and is perceived to be—everywhere, pursuing all types of violations of our federal securities laws, big and small.” — Mary Jo White, Chair of the SEC, October 9, 2013 “In the end, our view is that we will not know whether there has […]

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Governance Priorities for 2014

As the fallout from the financial crisis recedes and both institutional investors and corporate boards gain experience with expanded corporate governance regulation, the coming year holds some promise of decreased tensions in board-shareholder relations. With governance settling in to a “new normal,” influential shareholders and boards should refocus their attention on the fundamental aspects of […]

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Sealing the Deal

In many jurisdictions, a statute of limitations may not be extended by contract. [1] Delaware follows this rule, so its three-year statute of limitations for contract claims generally may not be extended. [2] Moreover, under Delaware’s borrowing statute, contract claims arising outside of Delaware but litigated in a Delaware court are subject to the shorter […]

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