Consequences for FCPA Compliance
October 01, 2003
Over the past year, most issuers have been preoccupied with the basics of Sarbanes-Oxley compliance, with the result that some of the subtler compliance implications have not yet been fully appreciated. However, as discussed last month, it is evident that the provisions of the Act will have implications for compliance in all substantive areas in which a company maintains a compliance program, but especially those having payment and financial dimensions, such as the FCPA Section 302, already mentioned in the disclosure discussion last month ... This article completes the discussion.
Arbitration Awards Not Subject to Dilution
October 01, 2003
Arbitration awards are subject to limited judicial review. May parties contract to further limit the review afforded by courts to an award? The Second Circuit ruled parties may not seek to lower the standard of review of an arbitration award to be applied by a court.
Wage Claims under Labor Law: Executives Need Not Apply
October 01, 2003
Wage claims under Section 191 of the Labor Law are a handy gadget in a plaintiff's toolbox. Such statutory claims provide not merely for recovery of lost wages but also liquidated damages equal to 25% of the total wages due as well as attorneys' fees and costs. Section 191, however, has an Achilles heel, and that is its application to supervisors and executives or, better put, its inapplicability to them.
Non-Competition Law in France and the EU
October 01, 2003
In the international arena, U.S. employers should refrain from seeking to blindly impose the "American way" of drafting and implementing restrictive covenants in an attempt to harmonize their employees' working conditions all over the world. Indeed, there is simply no such a thing as a standard restrictive covenant that could be implemented whatever the location of the workplace in the world.
'Faithless Servant' Must Surrender All Income
October 01, 2003
The Second Circuit, in a rare venture into the realm of damages resulting from a breach of the duty of loyalty, has ruled that a "faithless servant" must surrender all income, including investment opportunities, after the date the disloyal acts began.
Media Tips for Bankruptcy Lawyers
October 01, 2003
Is it safe to put your reputation in the hands of a reporter you do not know and have no reason to trust? Yes, but only if you follow the rules. Whether you are on the debtor or creditor side, following the rules will have you quoted often in the media, because reporters will know you are a good source for their bankruptcy-related stories.
The Wagoner Doctrine Keeps Rolling
October 01, 2003
A truism of bankruptcy is that assets available to pay creditors are few and far between. Among them are causes of action, and thus both debtors and trustees rightly hoard the right to sue third parties. Does the debtor or trustee have standing to sue when the entity brought the harm upon itself? Generally, the answer is no, and thus in this present environment of corporate misdeeds and scandals, litigation against outsiders is foreclosed by the debtor's own misfeasance.
