The Illinois Business Law Journal is proud to share our inaugural issue.  This publication of the University of Illinois College of Law acknowledges the work of our student body.  This issue has compiled writings from relevant areas of law related to business.  We hope to bring you a new edition of the Illinois Business Law Journal this spring. 

Please click on the link below to access the Issue:

Illinois Business Law Journal Fall 2009 Issue 1.pdf (465.20 kb)

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New regulation will come out of the 2008/9 crisis as is common after every major crisis (e.g. 1930’s meltdown and Enron’s falling, among others). What is most important is that such regulation should aim at terminating certain undesired market incentives: those which contributed to the development of the 2008/9 crisis, and the negative ones arising from the bailouts. Along the path of reform, it is essential to understand that systemic risk, the 2008/9 systemic crisis and the bailouts are three different situations, with different causes and effects. Thus, they can be addressed separately to improve the overall situation, without need to exclusively seek for a unique “magic” solution. Fine tuning over traditional financial regulation as well as exploring new ideas –such as limiting the size of Too Big To Fail Companies – will be required. Along the path of reform, it is essential to understand that systemic risk, the 2008/9 systemic crisis and the bailouts are three different situations, with different causes and effects. Thus, they can be addressed separately to improve the overall situation, without need to exclusively seek for a unique “magic” solution. [More]

Comcast's proposed takeover of NBC Universal is expected to completely restructure the entertainment industry's landscape. Analysts, investors, and public interest groups alike have responded strongly to the anticipated agreement, which is expected to be finalized imminently. The merger of the largest American cable company with one of the largest entertainment enterprises in the world would give the combined entity control over approximately one out of every five viewing hours in the United States. Not surprisingly, the deal will be heavily scrutinized and raise considerable questions of antitrust law, media diversity, and the future of internet usage. This article will explore the implications of big media mergers in light of the Comcast-NBC proposal. [More]

Part 1 of a 2 part paper discussing the value of mircrocredit and its possible applications in present-day America. In this first section, the reader will be introduced to the basic concepts and principles of microcredit, its history, and possible problems. [More]

The Alien Tort Claims Act has been subject of much controversy over the years in dealing with corporations. It has recently been used to attempt to hold corporations liable for the acts of its subsidiaries' human rights violations. While no corporation has yet been held liable for the acts of its subsidiaries, many have settled out of court and avoided such liability. Courts have come closer to applying the ATCA in such situations and differeing views have arisen. This article will view the history of the ATCA, the decision in Doe v Unocal and effects that would arise by holding the corporation liable for the acts of its subsidiaries under the agency theory. [More]

Since the first online hand was dealt on January 1st, 1998, the online poker business has exploded in popularity. “Research from Christiansen Capital Advisors says online poker revenues have grown from $82.7 million in 2001 to $2.4 billion in 2005.” Poker Stars, Full Tilt Poker, and Titan Poker represent the three largest poker sites, and alone these three sites serve more than fifty thousand cash players a month. In the past three months, the numbers of cash players on these three poker sites has increased 6-10%. On these, and on the hundreds of other poker sites, U.S. players generate an estimated $85 million in revenues monthly for these sites. From 2004 to 2007, the online poker industry recorded a 72% growth rate. [More]

In the current financial crisis borrowers are finding it increasingly difficult to access capital for their investments. This is affecting one of the most important industries in our society, hospitals. 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 industry because of the high levels of uninsured seeking health care services, low reimbursement rates from Medicaid and Medicare, and staff shortages. 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 credit. As a result, hospitals all over the country are filing bankruptcy and closing down. This is having a devastating affect on the access and quality of health care for many Americans. [More]

States and cities tax professional athletes in multiple ways. A traditional method, which applies to athletes and non-athletes alike, is income taxation by the state in which an individual resides. A second method, utilized by twenty states, is to tax athletes when they participate in games other than in the state they reside. [1] This second method is commonly referred to as the “jock tax.” Since the inception of the jock tax, inequality from state to state has been a prevalent issue. The combination of the jock tax and differences between how states tax its residents may make some cities in the United States and in Canada more attractive than others. At the same time, but for a few adjustments that are made to a team’s salary cap, the teams in the major sports are limited to the same payroll as the other teams in the sport. Given the salary cap, teams in hockey, football, baseball, and basketball may find it difficult to compete with teams with more attractive tax situations. To further increase parity in the major sports, changes should be made to salary caps in the major sports based on the different tax situations created by different states. [More]

Antitrust law is usually understood as applying to companies and their products. The incentives for assuring competition among companies have not limited the function of antitrust law. Antitrust law has developed its application to beyond those players in the market. Now, lawyers and bar associations also have to watch out for antitrust regulation. The American Bar Association has been under pressure to lighten up several of its rules in order to allow multidisciplinary firms to evolve.[1] The application of antitrust law to lawyers will be discussed in this article. Part I discusses if the definition of “trade” applies to professional services for the purpose of antitrust regulation. Is the discussion of regulation related to horizontal agreements or legislation? If it is legislation (for example, laws establishing bar associations), it is out of the scope of antitrust law. Part II brings the European and also an economic approach to this matter giving more light to the discussion of what are the consequences of the direct application of antitrust law to lawyers. Part III recommends that lawyers should not be exempt from antitrust regulation. The formation of collusion and price fixing exists among this profession as well as in other areas and should be regulated. However, the existence of an exam to evaluate the quality of lawyers is not an anticompetitive behavior limiting entrance on the market, but it is a correction of the market that should exist to inform prospective clients. Part IV provides concluding thoughts on the regulation of attorneys [More]

Someone might view the economic crisis times as the best period to broaden one’s business horizons and invest into a new market. The fast growing markets such as China, Brazil, India and to some extent Russia are waiting for new investors. Russia, having more than 140 million inhabitants, i.e. potential consumers, and abundant natural resources remains mostly neglected by investors in many business fields. For decades Russian market was viewed as not a place for those faint-of-heart. Now the growth of political stability and positive developments in legislation make the investment less risky and more attractive. Nevertheless, the still existing differences between local and internationally recognized legislative frameworks and court practices make investors wonder if there is any possibility to opt out of the Russian legal rules. This article will explore the reasons behind Russian corporate norms that explain the inflexibility of current legislation and court practice and discuss views on future development of the corporate law system of the country. Part II introduces an overview of the policy issues behind the corporate law created specifically for Russia as a developing economy. Part III analyzes the legislation and its drawbacks, provides advice for investors who for various reasons want to opt out of Russian law. Part IV discusses the reasons for the government amending the corporate law, gives a forecast of future developments and provides a general conclusion. [More]