A clawback provision of a contract is one that provides that an employer can require for an employee to return money paid out to them. Clawback provisions increased in prominence starting in 2002 after the passage of the Sarbanes-Oxley Act, when there was increased focus on financial accountability.
A closely held corporation is a corporation which is owned by an individual or small group of shareholders, who are often members of the same family. Shares of a closely held corporation are generally not traded in the securities market(s).
Comfort letters are statements from an issuer’s auditor, who could be a Certified Public Accountant (CPA), that the auditor reviewed the issuer’s financial information and assures its accuracy, showing that no false or misleading information exists.
Commerce refers generally to the activity of exchanging products, goods, and services for financial gain. The word commerce usually is used to mean economic activity broadly on a national or other large scale. Commerce can be used in many contexts but is most commonly used by governments in their constitutions and laws to define the authority of the government to regulate commerce activity.
The Commerce Clause refers to Article 1, Section 8, Clause 3 of the U.S. Constitution, which gives Congress the power “to regulate commerce with foreign nations, among states, and with the Indian tribes.”
Commingled goods refer to goods so physically united with other goods such that the identity of the original goods is lost.
The new good created from commingled goods is known as a product or mass. Whether a good is commingled is of particular importance when discussing secured transactions.
Common stock is a class of stock that represents equity ownership in a corporation. Owners of common stock, called shareholders, are entitled to the following rights:
A consent decree (also known as a consent order) is a decree made by a judge with the consent of all parties.
Corporate raider refers to the practice of obtaining a controlling share of a corporation, then proceeding to sell off that company’s assets or force a merger with another company. The proceeds of any sold assets are subsequently divided among the shareholders.
