Newsletters
Investment Clubs
Groups of individuals may form a partnership or other organization in which they pool investment resources and ideas. The extent to which a membership in the club might be considered a security and the extent to which members of the club participate in decisions of the club will affect application of federal securities laws to activities of the club and its members.
Stock and Commodity Exchange Volatility Controls
Stock exchanges such as the New York and American Stock Exchanges and trading facilities such as Nasdaq are considered self-regulatory organizations under federal securities laws. To reduce volatility, securities and commodities markets have adopted several mechanisms known as circuit breakers, the collar rule, and price limits.
Sarbanes-Oxley Act of 2002
Employers have a general duty under the Occupational Safety and Health Act (OSHA) to provide a workplace free from "recognized" hazards. A violation of this duty can lead to criminal sanctions in addition to civil penalties. An employer can also be exposed to liability under occupational safety and health regulations promulgated by the Secretary of the Department of Labor. Directors and high-level executive officers must act to reduce or eliminate workplace dangers or risk OSHA liability.
Duty of Loyalty
RATIFICATION OF SELF-INTERESTED DIRECTOR TRANSACTIONS
Tracking or Targeted Stocks
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.
