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The collection of all scholarly commentary on law, economics, and more

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Sirius/XM: An Antitrust Problem?

After scoffing for months at the suggestion that satellite radio firms Sirius and XM should merge, Sirius CEO Mel Karmazin admitted this week that it’s something he’d like to see happen but expressed doubts about the antitrust authorities permitting the deal to go through. See stories here and here. Karmazin is right that the proposed ... Sirius/XM: An Antitrust Problem?

Backdated options and incentives.

A letter to the editor in today’s W$J (see here) asserts the following regarding option backdating: [B]y backdating options at the lowest price of the past period, say, three months, a company is not providing any more incentives to CEOs to work harder on behalf of shareholders. If anything, since the options are already in ... Backdated options and incentives.

Supremes Take New Antitrust Cases

Hanno Kaiser at the Antitrust Review reports (courtesy of the ABA listserv) that SCOTUS has granted cert in Weyerhauser (predatory buying) and Twombly (pleading standards), but not Schering-Plough (reverse payments). Speaking of Weyerhauser, the FTC/ DOJ single firm conduct hearings started off with an examination of predatory pricing issues.  The materials from the hearings are ... Supremes Take New Antitrust Cases

Salinger on Price Gouging

Economist Michael Salinger, Director of the Federal Trade Commission’s Bureau of Economics for the past year, comments on the recent FTC Report and price gouging in Sunday’s WSJ (HT: Greg Mankiw). I have blogged a bit about the FTC Report previously: once about its findings (that “market manipulation” did not explain post-Katrina price increases), once ... Salinger on Price Gouging

Lunch with Warren Buffett

The Glide Foundation is once again auctioning on ebay a lunch with Warren Buffett. The current bid for the lunch is at $455,100 (click here for the ebay listing). The lunch will be held at Smith & Wollensky in New York, and the winner can bring up to seven people along. Buffett has been doing ... Lunch with Warren Buffett

DOJ Asks Court to Hold ABA in Civil Contempt

The press release is here. The petition alleges that the ABA violated at least six provisions of the 1996 antitrust consent decree, which was otherwise scheduled to expire on June 25th, and was filed along with a stipulation and proposed order in which the ABA acknowledges these violations and agrees to pay $185,000 in fees ... DOJ Asks Court to Hold ABA in Civil Contempt

SSRN Top Tens for Corporate, Corporate Governance, and Securities Law

As I mentioned earlier, I’m having my research assistant pull together bi-weekly top ten lists of SSRN downloads of papers announced during the last 60 days for corporate law, corporate governance law, and securities law.  See below the fold for the lists.

An Insider Trading Policy a Monkey Would Love

As Josh noted, Henry Manne recently published a WSJ op-ed arguing for liberalization of insider trading on efficiency grounds — chiefly, because such trading “aids capital allocation decisions and informs business executives through market-price feedback of the best predictions about the value of new plans.” (For a more complete statement of Henry’s argument, see here.) ... An Insider Trading Policy a Monkey Would Love

The NYT on SCOTUS’s Wetlands Decision

Yesterday, the U.S. Supreme Court issued a fractured decision in consolidated appeals raising the issue of which wetlands come within the ambit of the federal Clean Water Act (“CWA�). The wetlands at issue were next to drainage ditches that, when full of water, would eventually flow into navigable waters. The record did not establish whether ... The NYT on SCOTUS’s Wetlands Decision

The origin of option backdating?

An article in yesterday’s NYT describes the genesis of option backdating at Micrel Inc., a silicon valley semiconductor company: Throughout the 1990’s, Silicon Valley companies were locked in an intense battle to recruit employees, and stock options were their primary tool. * * * So when new hires began complaining that the [Micrel’s] volatile share ... The origin of option backdating?

SEC provides more comfort re: foreign exchange acquisitions.

Following up on this post, the SEC has just released a fact sheet concerning potential cross-border exchange mergers (see here). The fact sheet provides more comfort that the acquisition of a foreign exchange by a U.S. company will not automatically subject the foreign exchange and its listed companies to SEC regulations. Here’s some excerpts: Joint ... SEC provides more comfort re: foreign exchange acquisitions.

TOTM, Now with Extra Nuance!

In response to Thom’s post on the merits of federal subsidies for private efforts to develop alternative fuels, frequent and thoughtful commentor William Goodwin issues a critique of Thom’s post, and of TOTM more generally. I will leave the merits of Mr. Goodwin’s specific criticisms (do read them) to Thom, but this particular portion caught ... TOTM, Now with Extra Nuance!