US COURTS ON LEGAL BASIS FOR JURISDICTION
Gerardo Rodriguez-Albizu

Few questions are more fundamental than a court’s ability to hear a case. The resolution of this basic question, however, continues to vex courts which are increasingly confronted with a wide variety of complex and time-consuming jurisdictional disputes. In this article, Gerardo Rodriguez sheds light on two interesting US court decisions that recently clarified the legal basis for court jurisdiction. In Hertz Corporation v. Friend, the US Supreme Court put to rest the burning question of what constitutes a corporation’s principal place of business. The Court held that the “principal place of business” of a corporation is the place where it’s high level officers direct, control, and coordinate the corporation’s activity, not where most of its business is transacted.  In Wilson v. Island Seas Investments, Ltd., the US Court of Appeals for the Eleventh Circuit made clear that a plaintiff’s financial ability to prosecute his or her case in a foreign jurisdiction should be taken into consideration by the district court in deciding whether to dismiss the plaintiff’s action based on the doctrine of forum non conveniens.  FULL STORY HERE.

US BANKING REGULATION REFORM
Margaret T. Perez

As the US economy slowly emerges from the shadow of the worst recession in decades, the proposed Financial Reform Bill now takes centre stage. In this article, Margaret Perez, provides a summary of the proposed Financial Reform Bill and its recommended measures to revive the financial system. This article also gives you a sneak peak at some of the goals that the proposed Financial Reform Bill may accomplish if it becomes law and keeps you abreast of the obstacles faced by the proposed bill.   FULL STORY HERE.

THE EUROPEAN UNION CRISIS
Marta Colomar

The Euro’s recent sharp descent against the dollar is largely owed to Greece’s big debt. Although Greece has not officially asked for a bail-out, there have been tensions between the European Union member states regarding whether to financially assist Greece. Marta Colomar discusses whether it is legally possible to bail out Greece which will ultimately depend on how two seemingly contradictory articles (Articles 122 & 125) in the EU treaties are interpreted.  FULL STORY HERE.

EYES ON THE PRIZE: CHINA’S ROLE IN LATIN AMERICAN DEVELOPMENT
Michael Diaz, Jr. and Regan Kruse

Hungry for trade with resource rich Latin America, the Chinese are binding themselves closer with the continent, snapping up commodities in record amounts. In this report, Michael Diaz, Jr. and Regan Kruse compare growth conditions in China and Latin America and assess fears that Latin America’s over dependence on exports to China may lead to a downturn in commodity prices or demand from China in the coming decades. This report also emphasizes the much needed reforms in Latin America’s infrastructure which can be done through China’s financing and cooperation between the two regions.  FULL STORY HERE.

START THINKING NOW: HOW TO MITIGATE LEGAL RISKS INVOLVED IN THE PUBLIC OFFERING PROCESS
Xiaomin (Samantha) Hu

Although Chinese enterprises are being listed on U.S. exchanges at an increasing rate, data have shown that an alarming number of NYSE-listed Hong Kong and Chinese companies have been recently involved in class actions. Taking a company public is a challenging process requiring careful preparation and planning. In this article, Samantha Hu highlights the main issues a company should consider when contemplating an initial public offering and identifies some practical tips regarding disclosure requirements and internal control systems which can help manage legal risks. FULL STORY HERE.

CALCULATED RISK: ENTERING INTO A “LOSS SHARE” AGREEMENT WITH THE FDIC

The growing number of failed banking institutions in the US has created significant opportunity for healthier financial institutions and non-traditional investors to look aggressively at acquiring institutions in transactions assisted by the Federal Deposit Insurance Corp (FDIC). FDIC assisted transactions require a significant amount of flexibility and responsiveness. Sumeet Chugani cautions that the timeframe for the bidding process can be short with limited access of information which can force companies to close deals quickly, without much preparation. Sumeet emphasizes that bidders must fully understand and consider the purchase accounting, the loss sharing process, as well as regulatory and tax implications before entering into such transactions.