Month: March 2010

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Hospitals in Distress: How the Economy has Affected Financing of Health Care

I.  Introduction

In the current financial crisis borrowers are finding it increasingly more difficult to access capital for their investments.  This is affecting one of the most important industries in our society, heath care.  Hospitals are a vital part of the health care industry and they are facing especially hard times in today’s economy.  It is not a surprise to many people that hospitals are facing financial difficulties.  Hospitals have consistently faced financial difficulties even in a good economy.  However, the current credit crisis is affecting hospitals more than any other organization because of the high levels of uninsured seeking health care services, low reimbursement rates from Medicaid and Medicare, and staff shortages.[1]  Now more than ever before hospitals are facing increasing debt and are unable to gain more capital or refinancing their existing loans because it is more difficult to obtain … Read the rest

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Antitrust Activism

I.        Introduction

Recent antitrust activity showed relevant cases moving forward in a reminder that antitrust can be one of the most effective legal measures to put some limit to an era of globalization that has raised many criticisms.The current economic crisis that –under a formal view- began in 2008 with the falling of Lehman Brothers, ringed many bells in connection with the so called Too Big To Fail Companies.[1] Several claims and some proposals to limit the size of those companies were raised but no new regulation was enacted yet. In these circumstances, antitrust activism could be seen as the only effective way to restrict the size or somehow limit the growing potential of companies.

II.      Europe and Microsoft: an old claim comes to an end

In 1997 Antitrust proceedings were initiated against Microsoft in regard to Internet Explorer, its web browser. The argument was that, since the Internet … Read the rest

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Confidential Securities Trading v. Disclosure Requirements Of Bankruptcy Rule 2019

I. Introduction 

Bankruptcy reorganizations do not come without their fair share of issues. As large companies teeter on the verge of bankruptcy, affected parties begin to configure their positions. Some creditors, before a bankruptcy, will sell their claims in the debtor’s estate to interested third parties. Of course, these third party investors wouldn’t buy these claims unless they thought they could receive a return on their investment. However, sometimes these third party investors have incentives to receive less back on their claims in the bankruptcy reorganization process. This not only creates a stall in the reorganization process, but it can also force other creditors to receive less back on their claims. 

This paper focuses on these abusive third party investors and the rule that is used to combat these types of abusers, Rule 2019 of the Bankruptcy Code. Rule 2019 requires disclosure of these third party investor’s economic interests … Read the rest

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Keeping the Chicago Cubs Spring Training Facility in Arizona

I.                   Introduction

The Chicago Cubs are the highest drawing baseball team in the Arizona Cactus League  [1] and earn nearly $52 million for the state of Arizona annually.  [2]  The team’s current deal with Mesa, Arizona allows the Cubs to buy out of its agreement to play in Mesa after 2012.  [3]  As a result, the Cubs have received pitches from groups in both Arizona and Florida trying to persuade them to choose their state for the site of their new spring training facility.  In January, the Cubs and the city of Mesa, Arizona signed a memorandum of understanding which gave the city the exclusive right to negotiate an agreement for a new Spring Training facility for the Cubs.  [4]  Initially, an Arizona House committee proposed legislation that would approve a $1 surcharge on auto rentals in the Phoenix area and … Read the rest

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Microcredit Part 2

Microcredit Part 2

Application of Microcredit in the United States

Introduction:

In my last segment, I introduced the concept of microcredit and explained it’s basic foundations. As I explained before, micro-credit is one such way in which stimulating development from below in the societal totem pole also serves to advance democracy and human rights.[1] Now I will put the system into perspective and confront the issues and problems of applying such a system to the United States. The United States in any given year has 10% to 17% living below the poverty threshold as determined by the US Census. [2] This number translates to about 30-40 million individuals. Furthermore, most Americans (58.5%) will spend at least one year below the poverty line at some point between ages 25 and 75.[3] These statistics seem to suggest that a microcredit system established in the United States would be very successful. … Read the rest

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The Business of Steroids in Baseball

Introduction

For the past decade Major League Baseball has been forced to deal with the fact that at least one hundred of its players have been linked to steroid use, with the actual number probably far greater than that. [1] The Mitchell Report, an independent investigation into the illegal use of steroids in Major League Baseball done by George Mitchell of DLA Piper, alone uncovered forty seven players who have used steroids. [2] Surprisingly, steroids were not added to Major League Baseball’s banned substance list until 1991, and testing of major league players did not begin until the 2003 season. [3] While the use of steroids and other performance enhancing drugs may be inherently wrong to some because of baseball’s almost holy status of “The American Pastime,” their use may also have strictly economic implications for players and Major League Baseball alike.  

Steroid Use and the Economic Impact on Players… Read the rest