On November 8, 2017, legislation was introduced to update and strengthen the legal authorities of CFIUS. The bill is aimed at maintaining American leadership in certain critical technology industries and protecting against evolving threats to American national security and critical infrastructure.
The U.S. government has recently taken a number of significant steps to implement new sanctions on Russia, including tightening sanctions on the country's financial and energy sectors, and issuing guidance that offers clarity for both U.S. and non-U.S. companies on the U.S. government’s principal areas of concern and implementation priorities.
NEW ACTIVIST TACTIC
In the past year, more than 50 publicly traded companies have amended their bylaws to address the potential for a so-called “placeholder slate” of directors. The amendments began to appear in response to a tactic used last year to end-run typical advance notice bylaws for director nominations.
In France, companies and entrepreneurs have expressed optimism that changes in government leadership may result in the easing of regulations that they believe constrain the French economy. In the European Union, companies should be mindful of the active enforcement of EU state aid violations, which has wide-ranging implications for multinationals with investments in the EU.
ONE BELT, ONE ROAD
Companies are taking on projects under China’s infrastructure initiative, but such projects pose compliance risks. Hong Kong appears poised to continue aggressively pursuing enforcement actions against companies for alleged market misconduct, especially as the initiative ramps up and more companies tap Hong Kong's capital markets.
PATENT LITIGATION TRENDS
In the months since the U.S. Supreme Court's decision in TC Heartland v. Kraft Foods, patent lawsuits appear to be on a downward trend. Companies potentially facing patent litigation should keep a close watch on several key issues as courts and litigants continue to define the bounds of the decision.
The U.S. Supreme Court's dismissal of PEM Entities LLC v. Levin surprised those who had expected the Court to resolve the circuit split on whether federal or state law governs debt recharacterization in bankruptcy. Meanwhile, despite court criticism, the equitable mootness doctrine persists in some form within every circuit that has jurisdiction over bankruptcy appeals.
Global growth in demand and supply for liquefied natural gas has resulted in significant recent investment in U.S. liquefaction facilities. Developers and investors, alike, are seeking to maximize the opportunities presented by the current market.
Deciphering CFTC Regulatory Issues for Cryptocurrencies
Insights: The Delaware Edition – November 2017
This issue focuses on important, developing areas of Delaware corporation law and deal litigation, including recent court decisions that underscore the importance of board actions in the face of activist pressure, significant developments in Delaware appraisal law and trends in deal litigation post-Trulia.
Continuing Trends in M&A Disclosure Litigation
Deal litigation has continued to change and adapt to the post-Trulia world. The Delaware Court of Chancery has seen a significant drop in preclosing disclosure claims, and deal litigation-based disclosure claims under the federal securities laws have largely replaced state law disclosure claims for breach of fiduciary duty.