Which of the following is correct concerning anti-takeover efforts?
A)Most states have passed laws to deter hostile takeovers, but these statutes have not totally eliminated hostile takeovers.
B)Federal statutes have been more effective than state statutes in eliminating hostile corporate takeovers.
C)The most effective federal statute has been the Poison Pill Act.
D)The Williams Act has been the most effective legislation in regulating of the actions of the target company.

Question

Quizplus · Accepted Answer

Most states have passed laws to prevent hostile takeovers, such as poison pills and golden parachutes, but these statutes have not completely eliminated them. Federal statutes have also been implemented, such as the Williams Act, which regulates the actions of the target company and requires disclosure of information to shareholders. However, it is still possible for a determined acquirer to successfully complete a hostile takeover despite these efforts.

Which of the Following Is Correct Concerning Anti-Takeover Efforts