What does a gun ruling mean for an American company?
Yesterday’s radical Supreme Court ruling, which breaks New York state law to limit concealed weapons, seeks another soul among law firms, banks, and others on whether to work with the gun industry and its allies. May start.
Kirkland & Ellis, a law firm that filed the proceedings on behalf of the gun advocates, said he would no longer be subject to the Article 2 of the Constitutional Amendment... In response, two-star Kirkland partners Paul Clement and Erin Murphy, who won the case, They said they were leaving Kirkland Establish a boutique law firm that continues to represent gun advocates and other clients. Given the focus on appellate law, it’s not clear how much financial damage their resignation will do to the company, and the company is bringing in billions of dollars, backed by transactions and corporate litigation. increase.
-
“We have just secured a groundbreaking decision to prove the client’s right to Article 2 of the Constitutional Amendment. New York Rifle & Pistol Association vs Brune, We were presented with a tough choice — withdraw from representing them or withdraw from the company. ” Clement and Murphy wrote in a WSJ opinion piece.. “I had only one choice. I couldn’t abandon the client just because the client’s position wasn’t popular in some circles.”
Kirkland’s decision was made after several prominent clients announced their bookings. About the company’s efforts regarding gun rights The Wall Street Journal reported.. However, banks and other banks are being pressured by the legislatures of many Republican-controlled states to continue working for the gun industry. For example, Texas last year passed a law prohibiting government agencies from working with banks and other professional service companies that “discriminate” in the gun industry. It can affect Kirkland, Recently actively expanding in Texas, And last year was the state’s highest-selling non-Texas-based company. Other than Kirkland, there seems to be little or no general reaction to yesterday’s Supreme Court ruling from other corporate leaders.
Further legal sparring is guaranteed, Legislators seek to create a law that respects the new Supreme Court’s decision while finding ways to limit gun permits. Adam Winkler, a professor of gun policy at the University of California, Los Angeles, said: ..
Stock prices of firearms and ammunition makers soared yesterday. Smith & Wesson has risen by more than 9%. Sturm, Ruger’s stock rose 4%, and Amo’s stock rose. Firearms companies often rise as investors anticipate a surge in sales ahead of stricter legal demands, such as after mass shootings in Uvalde, Texas. Yesterday’s profits reflect the idea that a legal victory over gun limits is good for the industry.
What’s happening
The FDA has ordered Juul to stop selling e-cigarettes. This has hit a once-popular company whose brand has been blamed for the teen e-cigarette crisis. The FDA’s decision was based on inadequate and inconsistent data from Juul on potentially harmful chemicals that could seep out of e-liquid pods.
Toyota recalled fears that the wheels of an electric vehicle could come off. The company issued a recall 2,700 bZ4X SUVs in the US, Europe, Canada and Japan This is because the bolts on the car wheels may loosen and the wheels may fall off.
The Federal Reserve says stress tests show that large banks can withstand a serious recession. After an annual review of the resilience of major banks, the Federal Reserve said that the country’s largest banks are well-capitalized and could survive a serious recession. Testing has gained new importance as several economic indicators, such as slowing home sales and rising interest rates, seemed to increase the likelihood of a recession.
The CEO of Deutsche Bank waives some of the bonuses for using unapproved messaging apps. Christian Sewing and nine other members of the bank’s board of directors voluntarily abandoned $ 79,000 of the 2021 bonus. This shows that they were responsible. For staff using apps such as WhatsApp.. This practice may include circumventing records management regulators required by banks.
Klarna’s rating is down. Investors have reduced the company’s valuation from $ 30 billion to $ 15 billion as FinTech start-ups are reportedly struggling to raise more capital. The Wall Street Journal reported.. Technology start-ups struggled to find investors amid difficult economic forecasts.
Intel pushes Congress hard
Top chip makers are pressing Congress to approve long-term funding for the $ 52 billion CHIPS bill to boost US semiconductor production. Yesterday, Intel put pressure on it. The company announced that it will postpone the groundbreaking ceremony for its new Ohio plant next month. Condemn parliamentary stagnation.. “Unfortunately, funding for the CHIPS Act is slower than expected and we don’t yet know when it will be completed,” a spokeswoman said.
This move is a sign of frustration for industry leaders. Intel will spend $ 20 billion to build a chip plant in Ohio. According to the company, construction of a $ 3.5 billion upgrade to its New Mexico plant is also on track. Albuquerque Journal.. However, the company is dissatisfied with the delay in raising funds. In May, President Biden visited Ohio, highlighting his manufacturing work there, and said Intel plans to increase its investment in chip manufacturing in the state as follows: $ 100 billion When funds are handed over. As the supply chain continues to growl, US companies say they need funding to strengthen their competitiveness in the United States and reduce their reliance on Asian suppliers. That part seems to have bipartisan support.But the debate is protracted and chip makers are their Commitment depends on Congress Take action.
International competition is intensifying. “Other countries are cutting down on transactions,” Commerce Secretary Gina Raimondo told The Times last week. “And if Congress continues to dither, it will send a message that the United States is not serious, and we will lose a once-in-a-generation investment and all the work and national security benefits that come with it. Let’s do it. “Earlier this month, more than 100 technical executives Letter to urge lawmakers Approve funding for this law, claiming that US competitiveness and national security issues are at stake. India, Japan and South Korea have all recently passed incentives to boost local industries. The EU may soon finalize a similar law. China has also passed steps to upgrade production. “Our global competitors are investing in their industry, their workers, and their economy,” said executives, including Google CEO Sundar Pichai and Amazon chief Andy Jassy. rice field. On Tuesday, another parliamentary meeting ended without a resolution.
“One of the consequences of this conflict is the fundamental reorganization of the world’s energy system, trade relations and geopolitical alliances, with China and India working more closely with Russia.”
— Former Obama adviser Jason Bordoff, director of the Global Energy Policy Center at Columbia University, said: Efforts by Europe and the United States to isolate the Kremlin.
Citadel heads south
Billionaire Ken Griffin moved hedge fund Citadel and trading company Citadel Securities to Miami after spending more than 30 years in Chicago. Zia Ahmed, a Citadel spokesman, cited Chicago’s high crime rate as the reason for the move. November DealBook Conference.. But it may be more than just a crime.
Bad blood is flowing between Griffin and Governor JB Pritzkar of Illinois. A Democrat who is also the heir to Hyatt’s property. Two billion millionaires have been working on it for years. Among their many issues: Pritzker promoted a higher tax rate income tax system for larger income earners, Griffin categorically opposed – When Spent a lot to dodge..Griffin Major donors to Republican candidates and again Among the biggest supporters Governor Ron DeSantis of Florida, Republican presidential candidate for 2024. When asked how much Florida’s low tax rates played in the move, Ahmed replied “none.”
Citadel said crimes in Chicago have made it difficult to hire talent. Illinois has 1,000 employees, a decrease of about 10% from two years ago. It cites violence against its decline — although companies across the country struggled to retain workers for many reasons. Crime in Chicago is rising, with 797 killed in 2021 and up from 772 in 2020, but most violence is concentrated in some parts of the city. Although not a direct comparison, Miami-Dade County reported 30 murder crimes by May this year, down from 48 in the same period last year.
Is the crime a reason to leave? Johnnie Taylor, Jr., CEO of the Human Resources Management Association, said he had never heard of the company relocating its headquarters due to criminal concerns. He said companies usually move because they want more access to skilled talent and more favorable tax policies, or after a dispute over social policy. “These are the top three reasons I’ve heard,” Taylor said. “This isn’t even on the top 10 list.”
Rise of working from home During the pandemic, businesses can more easily uproot themselves in search of lower taxes and more friendly state governments, often like when Tesla moved from California to Texas. I did. (Citadel has returned to the office full-time since last year as part of it.) In recent months, Caterpillar and Boeing have been headquartered in Texas and Illinois, Virginia, respectively. But just this week, Kellogg said he would leave Michigan’s longtime home and move to Chicago.
Speed reading
Deals
policy
-
The CEO of Yelp is the company because hybrid work is “hell” Move completely to remote.. (luck)
-
The North Dakota Attorney General’s Office Trust with a connection to Bill Gates.. (KFWR TV)
-
COVID-19 Prevented vaccine About 20 million people have died worldwide, according to a new study published in The Lancet. (FT)
Best of the rest
Please give us your feedback! Email your thoughts and suggestions to dealbook@nytimes.com.
