Jump to Navigation

Los Angeles CA Corporate & Securities Law Blog

Hanmi Bank and Central Bancorp merger finalizes

Another merger may affect California residents in the near future. Hanmi Bank recently announced its completed acquisition of Central Bancorp, Inc. This merger is believed to have a specific impact on Asian American communities.

The merger is part of a plan for the bank to become a leading community bank, appealing to residents from many different ethnic backgrounds. The bank now services a wide range of customers including Indian Americans, Pakistani Americans, and Korean Americans. The process of the merger went smoothly and California is now home to 30 branches of the community bank.

What is encompassed in the Securities Act of 1933?

The Securities Act of 1933 is a main concern for many companies involved in business litigation matters. This law is often referred to as the "truth in securities" law and covers two main objectives. The law works to ensure that investors have pertinent financial information when a sale occurs. It also works to prohibit fraudulent acts, deceit and misrepresentations during a sale.

Disclosing important information to investors is crucial because it allows the investors to make informed decisions in purchasing a company's securities. The law requires a registration of securities, which encourages this disclosure. Generally, any security sold in the United States must be registered. The registration requires that the company disclose a description of the property and business, company management information, a description of the security up for sale and financial statements that are certified by independent accountants.

Achieving the best outcome from a company merger

When a business in California is considering a merger with another business, there are many formalities and regulations that must be followed properly. Acting in a way that does not promote due diligence can prove fatal to a merging company. It is also crucial for companies to understand current market parameters and to take a pragmatic approach to negotiations in order to achieve the best outcome possible.

As companies begin the merger process it is important to review all of the other company's articles, bylaws, property, financial information, licenses and environmental issues. A complete knowledge of the other company is crucial when acting with due diligence. Due diligence can be described as acting in a way that a businessperson in a similar situation would act. Due diligence is essential for both past company behaviors and future behaviors in the process of the merger.

Business bankruptcy options

No California business owner wants to find themselves in the position where they are forced to file for bankruptcy. Unfortunately, in today's economy, the reality is that many businesses will be forced to do just that. Bankruptcy can be a positive step, however, and often allows businesses the opportunity for fresh start.

There are several different types of bankruptcy filings. Businesses typically file for a Chapter 7, Chapter 11 or Chapter 13 bankruptcy. Each has unique benefits and requirements.

Comcast merger lulls after questions from California lawmakers

There are many moving parts to a merger between two companies. Often times, these mergers will hit a bump or two as they move towards becoming one. Fully understanding the contents of merger documents as well as doing research proves imperative to a successful deal.

It is no secret that Comcast and Time Warner Cable have been in discussions about a possible merger to occur between the companies sometime in the future. As plans for the merger have advanced, however, several states are starting to ask questions.

Breach of contract remedies for businesses

Business owners strive to run their organization with efficiency. Sometimes, however, a business runs into a situation where another organization they have contracted with does not uphold their end of the bargain. Under these situations business litigation disputes can arise.

One reoccurring problem for businesses proves to be a breach of contract. When a second party does not fulfill its obligation, a business is left struggling to pick up the pieces. Companies that entered into a contract where an opposing party breached can seek legal remedies for the breach. Although many different types of remedies exist, the courts have generally provided for a remedy to help numb the pain of a breach in most situations.

Web start-ups decide their business goals can be met by merging

Doing business in Orange County can be a complicated endeavor. It can be overwhelming when trying to build and grow. One of the most important aspects of maintaining a business is financing. Having a grasp on the short and long-term aspects of financing and ensuring that the foundation is structurally sound can depend on the amount of money available when getting off the ground. Many times, there are mutual benefits for two companies to share the risks and rewards with mergers.

Two publishing and advertising start-ups have chosen to end their competition against one another and achieve their business goals by merging companies. The companies, located on the East and West Coasts, both try to help raise the web traffic and revenue for news sites. The deal involves stock instead of cash. Shareholders believe that the increased size of the companies and opportunity to collaborate will help boost revenue. The ads of the East Coast-based company are prominent on numerous websites and give links to paid clients to increase their web presence. The companies had worked together previously, but not under the same umbrella. The West Coast-based business had raised over $31 million in financing as they built their business prior to this move.

Hewlett-Packard speaks up in business litigation

Business litigation is an area of law that involves an in depth understanding of how corporations operate. Many business litigation issues have millions of dollars at stake and can decide the fate of a company. Because of their importance, no issue should be overlooked.

Hewlett-Packard and Autonomy Corp. executives have squabbling about an issue between the companies that began in 2012. HP has accused Autonomy of misrepresenting its performance, while Autonomy accuses HP of botching the acquisition between the companies. HP has now filed a document in San Francisco Federal Court, attempting to keep Autonomy's former CFO from intervening in a settlement between HP and its shareholders. HP claims that the former CFO was directly involved in the alleged fraud and is partially responsible for HP's $8.8 million loss.

Publicly traded AECOM acquires competitor in California

In the business world, mergers and acquisitions are becoming popular options for business owners across the United States. Considering the state of the economy in the last several years and the age of baby-boomers, this is not surprising. Most acquisitions occur when a large corporation acquires a smaller company in the industry. Once in a while, two competitors who are both considered leaders in their industry will merge. Such was true for California's publicly traded AECOM Technology Corp last week when they reported their publicly traded merger with San Francisco competitor, URS Corp.

The details of the merger reported that AECOM will pay $4 billion to acquire URS Corp. Together the company boasts 95,000 employees and a reported $19 billion in revenue according to last year's financial statements. Under the merger, AECOM will pay $56.31 per share for the stock purchase of URS Corp. Stockholders will receive $33 per stock plus .734 shares of AECOM stock.

Mortgage securities fraud case settles

In the business world, securities fraud is a concern for many companies. Essentially, securities fraud occurs when a false statement is made about a company or its value and others rely on that information. Because of the dangers posed by securities fraud, all businesses should work diligently to be aware of these problems and protect their assets.

There is a history of long running disputes between American International Group and Bank of America. One such litigation is pending in California. These disputes center on defective mortgage-backed securities sold by Bank of America.