Which of the following is correct concerning antitakeover 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 the actions of the target company.

Question

Quizplus · Accepted Answer

While most states have passed laws to deter hostile takeovers, these statutes have not completely eliminated such takeovers. Federal statutes also exist, but they have not been as effective as state laws in this regard. The Poison Pill Act is not a federal statute but a tactic used by companies to deter hostile takeovers. The Williams Act does regulate certain aspects of corporate takeovers, but it is not the most effective federal statute.

Which of the Following Is Correct Concerning Antitakeover Efforts