Study Document
Business Law A Robert Sold Case Study
O'Hagan, the SEC could successfully bring a lawsuit against Leo for damages in connection with his purchase of the shares.
Larry was not bound by fiduciary duty to Hawke. As such, the higher standard of Chiarella v. United States applies. While this 10b-5 rule applies to deliberate omission, Larry may or may not have known specifically about Leo's relationship with Hawke. Legally, however, the SEC still has recourse. The broker in the ImClone case, Peter Bacanovic, received a conviction for trading on Sam Waksal's inside information. The same legal standard is likely to apply to Larry as well, since he is a broker. There is a question as to whether this standard would apply to Foster in the case involving Howard, as he is less likely to have known that his omission constituted a fraud. For Howard, however, his position makes it evident that he knew he was committing a fraud and therefore the SEC could bring a lawsuit against him for damages relating to this trade,
c) Anova will not be required to pay TNA anything for selling her shares. The shares were purchased in good faith long before the takeover bid was launched. The shares were later sold in good faith on the open market with no fraud involved, the day after the takeover bid was announced publicly. Anova did not have any covenants against selling her shares, so they were sold entirely within the boundaries of her directorship contract. As a result, Anova's transactions were completely legal and TNA has no legitimate complaint or right to demand anything from Anova. As such, she will not be required to pay TNA any of the money she made from the sale of…
Related Documents
Study Document
Saudi Arabia's International Business Law
Saudi Arabia's International Business Law Saudi Arabia and Socio Economics Oil wealth, which led to dramatic standard of living increases in the Gulf for much of the second half of the twentieth century, no longer is enough to ensure the prosperity of several states. Living standards in Saudi Arabia, Bahrain, and Oman have remained at a standstill in recent years. For example, from 1980 to 1998, the Saudi economy grew at an
Study Document
Contract Law
Law of Contract Contract law As to concerned definition of law there are many definition among various schools of thought of law such that no particular definition is acceptable to them as universal definition of law, but nevertheless there is a common acceptable definition as to what the law is composed of and that it is a collection of rules and regulations governing human conduct prescribed by human beings for the obedience
Study Document
Business the Term Business Is
To run a business profitably, especially in the modern times where business is dome at the speed of thought, achieving business stability and growth can be made possible by setting goals that have to be achieved and using the proper tools and methods. (Elkin, 1998) Enhancing the business can be achieved by reaching the predetermined point where the investments match the output and there is a situation where the
Study Document
Business the Company's Objective Is to Develop
Business The company's objective is to develop capabilities in the Research and Development areas as well as ensuing products that can be sold and distributed in the European and American markets. It should be noted, however, that such a move must be taken with caution and care; approaching the European business marketplace may not work in the same manner as other business environments. As one expert recently wrote "approaching the European
Study Document
Business Information Systems
Business Information Systems What is a Business Information System? A program involving a business information system would prepare the person who is studying the intricacies of the process to be able to oversee the efficient and proper manner in which to use computer hardware and software systems. The individual who has completed the training process in a business information system would be able to work as a computer programmer, or a
Study Document
Business the Ethics of Executive
Removing losses from the company's books made the main corporation look more attractive. Enron appeared to be operating at a profit; a key factor in the valuation of any company's stock. By virtue of this "success," Enron was able to raise even more money for more investments. The architects of all this "growth" profited accordingly. Ken Lay and his associates held large amounts of exceedingly valuable and overvalued stock. When