Tag:Journal of Regulatory Compliance
High-Frequency Trading and its Need for Increased Regulation
With the rapid innovation of technology penetrating our lives comes the need for increased regulation on the industries that are being impacted, and the stock market is no different. In the late nineties, the Securities and Exchange Commission (SEC) approved the use of an electronic stock exchange system and by 1998, they authorized the use of High- Frequency Trading (HFT). HFT is a method of electronic stock trading where the trader uses high powered technology to complete automated trading at a large volume and speed. Because these trades are not made by people, but instead computers, they can be executed within millionths of a second. As the speed that HFTs have allowed for stocks to be traded at has decreased over time, their popularity has increased. By 2012, it was estimated that HFT accounted for almost 50 percent of all U.S. equity trades. Their popularity is contributed to HFT’s ability to allow traders to ensure they have the most up to date information on the market and ensure that they get the lowest price. This gives traders the power to buy and sell at high speeds, increasing liquidity in the market.
K-12 Schools Returning In-Person During COVID-19
During February 2020, COVID-19 hit the United States and disrupted many lives all throughout the country. Many states shut down most businesses, stores, and restaurants except for all essential services. By March, schools were forced to create unconventional forms of teaching methods for the remainder of the school year such as e-learning and sending students lesson packets for the week. As the school year approaches, many school districts are still determining their instruction mode for the upcoming school year. The Centers for Disease Control and Prevention (CDC) provided guidelines to reopening schools and advised school districts to work closely with local and state health officials to determine the best practices for reopening.
Privacy Lessons Learned from Litigation: The unfair and deceptive practices lawsuit against Zoom
Yet another privacy and data security-related lawsuit has been filed against Zoom Video Communications, Inc. (“Zoom Inc.”). Zoom Inc. has been the subject of several complaints related to its video-conferencing service since its meteoric and spectacular rise in popularity due to the Coronavirus pandemic and related quarantine measures beginning in March 2020. In this particular case, there are compliance lessons to be learned from the unfair and deceptive practices claims alleged against Zoom Inc. in the plaintiff’s D.C. Superior Court filing.
The NEPA: Environmental Impact Statements, Compliance, and an Impending Threat to Environmental Regulation
On March 25, 2020, a judge for the United States District Court in the District of Columbia held that the Army Corp of Engineers (hereinafter the Corp) failed to comply with the standards of the National Environmental Policy Act (hereinafter “the Act”) by failing to prepare an Environmental Impact Statement (EIS) before deciding to approve federal permits for construction of a portion of the Dakota Access Pipeline which ran under the Mississippi River. The ruling came four years after the Standing Rock Sioux Tribe brought the original action in 2016. The Act is meant to ensure the public that agencies have considered the environmental consequences of a potential project before going forward with it, and so requires agencies to consider any and every significant environmental impact that could result from the project through completion of an Environmental Assessment, and, in some cases, an Environmental Impact Statement (EIS).
One Ballot, One Vote? Fears Amass Surrounding Mail-in Voting in 2020 Election
Mail-in voting has been in the forefront this election season due to persistent COVID-19 concerns. Tensions exist between those who claim that mail-in voting is a safe and valid alternative to in-person voting and those who argue that it will lead to widespread voter fraud and inaccurate election results. Illinois was recently front and center in this national discussion when a Facebook post went viral, asserting that an Illinois couple who received multiple ballot applications could submit them all and vote multiple times without anyone knowing. Far from true, such misconceptions have many questioning how states will monitor mail-in voting to ensure that it remains an effective option in this crucial election.
Financial Regulation During COVID-19
Coronavirus (COVID-19) has shaken the world economy, not the least of which the financial industry. As the financial industry has adapted to work-from-home life under the coronavirus pandemic, industry regulators such as the SEC and the Financial Industry Regulatory Authority (FINRA) have been forced to adapt rules to changing circumstances and shift their enforcement priorities to pandemic related fraud.
Standardization and Cooperation Needed to Fix Crumbling Infrastructure
Northeastern Michigan was already facing a pandemic on May 19 when a breach in the Edenville dam forced 10,000 residents to flee their homes in the face of deadly floodwater. The dam failure elevates the need for state and federal regulators to standardize regulations and collaborate on their enforcement to prevent similar incidents.
Regulatory Shortcuts Taken in Creation of 737 Max Jets
Boeing’s fleet of 737 Max jets remain grounded in the wake of two crashes that occurred shortly after takeoff and within five months of each other. Both crashes killed all passengers on board, a total of 346 people, and the jets’ black box data recorders have revealed many similarities between the two incidents. Both jets were equipped with Boeing’s newly implemented stall-prevention software called the Maneuvering Characteristics Augmentation System (MCAS). The system automatically adjusts the pitch of the aircraft, but it malfunctioned in both crashes when MCAS seized control from the pilots and plunged the jets into the ground. The Federal Aviation Administration (FAA) has not yet announced when these jets will be allowed to fly again, although test flights have recently been conducted.
NCAA and Agent Representation: The Policy Implications of Agent’s Roles Pertaining to Proposed Name, Image, and Likeness Legislation
With changes to the regulations of the National Collegiate Athletic Association (NCAA) student-athlete model looming overhead, the role of athlete representation is significant in the conversation relating to name, image, and likeness (NIL) of the student athlete. The NCAA has a long-standing “no-agent” rule that forbids student-athletes from being represented by an agent or organization in the marketing of his or her athletic ability until after the completion of their last intercollegiate contest. The NCAA determines a student-athlete’s eligibility based partly on their amateurism status, a term which is not expressly defined by the NCAA, although guided by several factors. Among those factors that would remove an athlete’s eligibility from NCAA competition, is a binding agreement to be represented by an agent at any time before or during a student-athletes collegiate career, however, there are a few exceptions to this factor.The underlying purpose of the “no-agent” rule is to protect student athletes from exploitation in the open market. To further regulate potential issues, the NCAA adopted the Uniform Athlete Agents Act, which effectively criminalizes contact between agents and athletes before the athletes completion of their last intercollegiate contest.
The Future of Police Accountability in Chicago
In the wake of mass protests across the country, many cities are grappling with how to hold their police accountable. In Chicago, the Committee on Public Safety has been debating two proposals, the Grassroots Alliance for Police Accountability (GAPA) and the Civilian Police Accountability Council (CPAC), for the past few months. Both ordinances would supersede the Civilian Office of Police Accountability (COPA) with a fully elected board of community members. The key difference between the two proposals is that CPAC would be independent of the mayor’s office and would have complete hiring and firing control of Chicago Police Department (CPD) officers and the police superintendent, while the GAPA ordinance would only give the board power to make recommendations to the mayor and the police superintendent. The Chicago City Council will debate and vote on these ordinances in the coming months.