Apparent authorityconfusion abounds
Apparent authority is a doctrine which has generated much confusion in the litigated cases. See Murdock, 7 Illinois Practice--Business Organizations §§2.72.9.
Arbitration of securities Industry employment disputes in flux
In Gilmer v. Interstate Johnson Lane, 500 U.S. 20, (1991), the United States Supreme Court held that the securities broker-dealer's 62 year old manager's claim for age discrimination under Title VII's Age Discrimination in Employment Act of 1967 [29 U.S.C. 621 et seq.] ("ADEA") must be arbitrated
BusinessLaw Flash Points℠
The U.S. Supreme Court has launched its own website, which contains court decisions, the court schedule and calendar, rules, bar admission forms, weekly orders granting and denying new appeals, and news releases.
BusinessLaw Flash Points℠
Author's note: Lots going on this month, so this will be a longer than usual newsletter. However, many of this month's cases have not yet been posted. If a link does not work, try again later.
Case law update
In Aste v. Metropolitan Life Insurance Company, MetLife Securities, Inc. and Anthony M. Williams, Docket No. 1-99-2574 (First District, March 28, 2000), the First District Illinois Appellate Court handed down a decision that may cause brokerage firms to examine the validity of the arbitration clauses in their customer contracts.
I am both honored and privileged to serve as Chair to the Corporation, Securities and Business Law Section Council.
Welcome to the first issue of the Corporation, Securities and Business Law Section Council newsletter for the upcoming bar year
From the co-editor
This edition of the newsletter has several interesting articles, with a focus on the internet, including a look at the new Anti-cybersquatting Consumer Protection Act, and a thoughtful analysis of doing an IPO "road show" over the Internet.
From the editor
This edition of the newsletter has several interesting articles, including a discussion of arbitration issues in the securities industry, and an informative analysis of "angel" funding for start-up companies.
Restrictive covenants for independent contractors
In the recent case of Eichman v. National Hospital and Health Care Services, Inc., No. 97 CH 13460 (First District, October 18, 1999), the First District Appellate Court, affirming the trial court's decision, held that restrictive covenants contained in an independent contractor's agreement with a company were not enforceable.
The North American Securities Administration Association, Inc. ("NASAA") recently issued revisions to the Small Company Offering Registration ("SCOR") Form U-7 and the related SCOR Issuer's Manual. (Adopted, September 28, 1999).
The SEC opens the door to electronic “road shows”
The U.S. Securities and Exchange Commission ("SEC" or "Commission") staff recently issued a "no-action" letter, (i.e. the staff will not recommend the initiation of enforcement action to the Commission), to Charles Schwab & Co., Inc. ("Schwab") in connection with its plan to present a "road show" over the Internet prefatory to an initial public offering of securities.
Tax bill hits seller financing
Under a provision in the "Ticket to Work Incentives Improvement Act of 1999" (H.R. 1180), signed into law recently by President Clinton, accrual basis taxpayers using an installment method for asset sales will no longer be able to defer taxes on gains until payments are actually received.