Introduction The view that corporations should be run for the financial benefit of shareholders presupposes that shareholders’ financial interests align with broader societal interests.[1] This approach to corporate governance is known as shareholder primacy, and it is based on two related assumptions. The first is that shareholders hold the residual claim on the firm’s assets.[2] […] Continue Reading >
The Forgotten Anti-Monopoly Law: The Second Half of Clayton Act Section 7
The Forgotten Anti-Monopoly Law: The Second Half of Clayton Act Section 7
Introduction Section 7 of the Clayton Act is a cornerstone of modern antitrust law. Its text prohibits mergers and acquisitions whose effect may be “substantially to lessen competition, or to tend to create a monopoly.”[1] In recent years, federal antitrust enforcers have pursued more cases under this statutory provision than any other.[2] Hundreds of actions involving […] Continue Reading >