Showing archive for: “Financial Regulation”
Wachovia, Wells Fargo, and Citigroup – Score one for Citigroup!
Last last night, a New York judge issued an injunction tolling the termination of Wachovia’s Exclusivity Agreement with Citigroup. In addition, the judge set a show cause hearing date for next Friday to sort out the issue of whether Wachovia’s pending merger with Wells Fargo should be enjoined as a violation of Wachovia’s exclusivity agreement ... Wachovia, Wells Fargo, and Citigroup – Score one for Citigroup!
Now that the Bailout Has Failed, How About Bebchuk’s Plan?
I’ve avoided saying anything at all about the bailout because (1) I’m not an expert on banking, finance, etc. and (2) events are moving so fast I can’t keep up with the latest proposal. Nonetheless, since the bailout bill has just failed, this might be an opportune time to consider an alternative to the plan ... Now that the Bailout Has Failed, How About Bebchuk’s Plan?
Commisioner Troy Paredes
Only the formality of full Senate confirmation stands between Troy Paredes and the SEC following unanimous approval from the Senate Banking Committee. Congratulations, Troy. UPDATE: [Someone claiming to be] Chairman Cox points out in the comments that Troy was in fact confirmed by the full Senate last week. Indeed, it is true. Not much fanfare, but ... Commisioner Troy Paredes
Lipton on Shareholder Primacy
It should be no surprise that the inventor of the poison pill is pro-director, but Marty Lipton’s remarks at a June 25 conference at the University of Minnesota Law School left no doubt that he truly believes in his heart of hearts that we’re better off with strong, unencumbered boards. According to the WSJ’s deals ... Lipton on Shareholder Primacy
Nudge
Sunstein and Thaler have a series of posts over at Volokh Consipiracy on their new book Nudge, which expands on their notion of libertarian paternalism (see here, here , here and here). Something in the most recent post caught my eye. In preparing to respond to various objections to libertarian paternalism, Sunstein argues that this ... Nudge
Regulate in Haste, Repent in Leisure: Reforming the Financial Regulatory Scheme
Today, Treasury Secretary Henry Paulson is set to present some comments about the Treasury’s Blueprint for Financial Regulatory Reform, released on Saturday. (A summary of the proposal is here.) The summary of the proposal report provides: “In this report, Treasury presents a series of “short-term” and “intermediate-term” recommendations that could immediately improve and reform the ... Regulate in Haste, Repent in Leisure: Reforming the Financial Regulatory Scheme
Antitrust & Private Equity
WSJ Deal Journal reports some important movement on the antitrust and private equity front. Specifically, Judge Richard Jones (W.D. Washington) granted the defendants’ motion to dismiss in Pennsylvania Avenue Funds v. Borey, dismissing the plaintiffs’ allegations that two private equity firms had violated the Sherman Act by bidding jointly on the target company (Watchguard Technologies) ... Antitrust & Private Equity
Radiohead revisited
I started writing this as a comment to Josh’s last post, but it got so long I figured I’d make a post out of it. Thanks for the inspiraiton, Josh. I really hope Radiohead releases the data on its little experiment! My prediction: They will receive an average price of $2 and a median price ... Radiohead revisited
Behavioral Law and Economics of Contracts
After receiving the page proofs last week, I’m posting “Behavioral Law and Economics, Paternalism, and Consumer Contracts: An Empirical Perspective” to SSRN. I wrote this paper for last year’s NYU Journal of Law & Liberty Symposium on Behavioral Economics’ Challenge to the Classical Liberal Program. The basic idea of the paper is an evaluation of ... Behavioral Law and Economics of Contracts
The Elusive Profitability of Voluntary Pricing
WSJ has a fascinating story this morning about a group of restaurants in Utah, Washington, Colorado and other places adopting a completely voluntary pricing system. No registers. No prices. No “suggested” prices and no tips. The business model is essentially to provide food and allow customers to put whatever they want in a lock box ... The Elusive Profitability of Voluntary Pricing
Activist hedge funds hurt credit quality
The Financial Times reports today on a Moody’s study that finds “[a]ctivist hedge funds and other short-term shareholders are almost always bad for the credit quality of their target companies . . . .” (See here for the FT article). I’m interested in reading the Moody’s study but have been unable to find it online. ... Activist hedge funds hurt credit quality
PIPEs
I recently posted on SSRN one of the two articles I have committed to write for the Entrepreneurial Business Law Journal. It’s entitled PIPEs (note that I went with a “micro-title†and successfully resisted the urge (at least for now) of being “very punny,” e.g., PIPE bomb, Sewer PIPE, Burst PIPE, Smoking PIPE, PIPEline . ... PIPEs
