Law

Samsung trial tests South Korea’s rule of law

9 May 2017

Bribery charges have turned the group's de facto leader, Jay Y. Lee, into a public enemy. A guilty verdict, if merited, could help rebuild trust in the system after an epic corruption scandal. It is equally important that he gets a fair trial despite the popular outrage.

Holding: SEC’s home-court edge nearing welcome end

4 May 2017

The U.S. regulator has been using in-house tribunals to run up the score against Wall Street targets. A rare loss last month and a new bill in Congress, however, may push more cases into federal court, where legal safeguards are stronger. Fairer hearings are worth giving up a few wins.

Puerto Rico restructuring will be no day at beach

3 May 2017

Congress gave the U.S. territory access to a form of bankruptcy. Now the board overseeing its finances, encompassing $70 bln of debt, has pressed the button. Creditors will get their day in court, and tidy plans in spreadsheets could end up as warped as in Detroit – or worse.

DoCoMo spoils in India not enough to go around

2 May 2017

Another multinational is set to leave India with its shirt and little else. A local court upheld a London arbitration order for Tata Sons to pay the Japanese telco $1.2 bln owed for a JV gone awry. But the win against Indian authorities is scant comfort to foreign investors.

Malaysia throws cheque book at 1MDB problem

27 Apr 2017

A deal with Abu Dhabi puts Malaysia on the hook for $3.5 bln of the disgraced fund's debt and leaves a dispute over a further $3.5 bln unresolved. That is a costly attempt to patch up relations between the states and avoid potential embarrassment before an election.

Heineken ought to depose the King of Good Times

21 Apr 2017

The Dutch brewer is the largest shareholder in India's biggest beer maker. An embarrassing agreement with arrested tycoon Vijay Mallya leaves Heineken bound to accept him as chairman. Heineken should lead a charge to sack him anyway and hope to win any resulting legal battle.

Brazil’s Temer steers white-knuckle reform route

17 Apr 2017

The "Car Wash" corruption probe is increasingly denting the president's government as he tries to drive crucial changes to an unsustainable pension system through Congress. The nation's economic recovery may hinge on his ability to ease off the gas just enough to ensure passage.

Fox scandals weaken Murdochs’ TV future

4 Apr 2017

Mercedes-Benz pulled its advertising after news that on-air host Bill O'Reilly has faced sexual harassment claims. The cost to Fox is low, for now. Yet as with, say, Uber, a toxic culture can damage long-run efforts to broaden consumer appeal – especially with younger cohorts.

Markets would miss Japan’s reformer-in-chief

24 Mar 2017

Investors are relaxed about a scandal involving Premier Shinzo Abe's wife. But the episode underscores a vulnerability. Abe's grand economic overhaul has broad support - but it is called "Abenomics" for a reason. A weaker leader would struggle to keep up the momentum.

Banks could do more in money laundering battle

22 Mar 2017

ING faces probes over links to a years-old graft case in central Asia, while UK lenders face questions over illicit Russian funds. The common theme is the difficulty of compliance in a world of faceless shell companies. The key is for banks to lobby harder for transparency.

Holding: Supreme Court may show Trump who’s boss

20 Mar 2017

Currently pro-business, it could back White House moves to cut regulation and union fees. The tribunal has been ruling against presidents more often, however, a new study shows. That means even if Neil Gorsuch gets a robe, The Donald may lose on close cases like immigration.

Viewsroom: Intel’s pricey bet on driverless cars

16 Mar 2017

The chipmaker is shelling out $15 bln for autonomous-driving parts firm Mobileye, a cool 30 times estimated revenue. Intel missed the mobile-phone revolution. Is it finally on the right road? Plus: Washington bounces bitcoin’s bid for mainstream acceptance.

Holding: Alphabet-Uber collision dents tech ethos

6 Mar 2017

Silicon Valley broadly, and especially the former Google, thrived more by sharing than suing. A legal brawl between its Waymo outfit and the $70 bln ride-hailing service over driverless-car secrets may signal a sharp turn. Open cultures would fade far in the rearview mirror.

Trump sends investors more conflicting signals

28 Feb 2017

Speaking to Congress, the president repeated his criticism of foreigners after telling journalists earlier he’s open to legal status for illegal immigrants. There also were scant details on tax and healthcare reforms. A still-hazy message bodes poorly for the economic agenda.

Takata’s future is full of moving parts

28 Feb 2017

The Japanese auto supplier has concluded a $1 bln U.S. plea deal over deadly airbag inflators. That opens the door to a sale, probably to a Chinese buyer. Yet unanswered questions span legal risks, deal structure, commercial prospects and the fate of existing shareholders.

Trump wraps U.S. budget flaws in $54 bln flag

27 Feb 2017

Boosting military spending by that sum largely at the expense of diplomatic soft power may please ardent supporters. Fixing Defense Department mismanagement would be wiser, though, and avoid a clash in the president's own party. Jingoism risks bringing higher costs in many forms.

Review: Steven Cohen’s enduring edge

24 Feb 2017

Sheelah Kolhatkar’s “Black Edge” is a compelling tale of the U.S. government’s decade-long failed attempt to charge the billionaire fund boss with insider trading. As Cohen prepares to open a new firm and politicians embrace deregulation, the epic struggle is clearly in the past.

Holding: In praise of merger appraisals

23 Feb 2017

Dissenters to payday lender DFC's $1.3 bln sale proved they didn't receive fair value. The company appealed, saying a judge's flub shows why courts shouldn't second-guess deal prices. Even so, Delaware's top tribunal owes the investors some love for helping keep M&A honest.

Seoul’s wavering on shipping bodes ill for reform

10 Feb 2017

A court will declare Hanjin Shipping bankrupt next week. The container line sunk amid an industry slump. But while Seoul was merciless here, it kept Hanjin's closest rival afloat. The flip-flop shows policymakers are struggling to take tough but economically rational decisions.

Silicon Valley fights for its life on immigration

7 Feb 2017

Over 100 tech firms, including Google and Apple, have joined the legal battle against President Trump's travel ban. They argue that the restrictions interfere with hiring and business operations. For an industry dependent on immigrants, the case represents a fight for survival.