| Tracking or Targeted Stocks |
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| In addition to common stock, companies may issue what is known as tracking or targeted stock. For example, a large automaker that acquired a company in the computer industry issued a tracking stock that tracked the performance of the acquired company once it began operating as a division of the automaker. More... |
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| Fairness Standard and Business Judgment Rule |
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| FAIRNESS STANDARD FOR DIRECTORS More... |
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| SEC Rules for Broker Dealer Exchange Specialists |
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| Securities and Exchange Commission rules regulate information that must be provided to the public by broker dealers who serve as New York, American, or other national exchange specialists or as Nasdaq market makers. Such broker dealers in effect trade for their own accounts as well as for customers. They thus are required to follow Commission Rules 11Ac1-1 and 11Ac1-4 under the Securities Exchange Act of 1934, 17 CFR 240.11Ac1-1 and 17 CFR 240.11Ac1-4, designed to increase the amount of public information regarding quotes and order handling. More... |
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| Time Requirements for Settlement of Securities Trades |
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| Due to the risk of volatility in the value of securities, the Securities and Exchange Commission requires that a securities transaction must be settled or completed within three business days. "T+3" is the name given to this settlement requirement. More... |
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| The Federal Antitrust Law Exemption for State Action |
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| Federal antitrust laws are considered inapplicable to economic regulation by the States. In Parker v. Brown, 317 U.S. 341 (1943), the Supreme Court reasoned that in the "dual system of government" of the United States, any subtraction by Congress from the sovereign powers of the states must be explicitly stated. Nothing in the Sherman Act (the first federal antitrust law) or in the legislative history of the Sherman Act indicated a Congressional intent to subject state regulatory activities to the Sherman Act. More... |
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