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CALIFORNIA CORPORATE & SECURITIES LAW

Congress Voids Form Contract Provisions That Impede Consumer Reviews

To paraphrase William Somerset Maugham’s Of Human Bondage, businesses may ask you for a review, but they only want praise.  Indeed some businesses have tried to ensure only good reviews by including non-disparagement clauses in their consumer contracts. Two years ago, I wrote about a new California law intended to protect reviews of consumer products…

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Is “Whistle-Blow” A Bad Word?

If someone send an email stating that they hope that they might whistle-blow on you, have you been libeled?  Los Angeles County Superior Court Judge Terry A. Green thought so, reasoning that “People don’t whistle-blow fun, nice things that are meaningless. People whistle-blow wrongdoing. . . . And the word whistle-blow . . . causes me to read it in a…

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Accountant’s Defamatory Report To Audit Committee Held To Be Absolutely Privileged

Once upon a time, an independent accounting firm learned from a law enforcement source that its publicly traded client and two of its directors had committed illegal acts of a serious nature.  The accounting firm contacts the source who advises against further dissemination of the report.  Nonetheless, the accounting firm decides to report the matter…

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