Disclosure: Is it the best way to protect the market

Abstract

This dissertation deals with the subject of disclosure law. It explores the nature of disclosure and traces its history and evolution within the European and American legal systems. It aims to investigate the advantages and the criticism of disclosure with the question always in mind of whether or not disclosure is a good way to protect the market. Disclosure regulations have existed in some form or another for many years, but their relevance, function and purpose has been especially foregrounded in the legal and business world over the past ten years, mainly since the occurrence of high profile big business disclosure scandals which occurred in the USA at the very beginning of this century (such as Enron and WorldCom).

This research will look at the reasons why disclosure law should not be abandoned as a result of these events; there are strong arguments which have been put forward to support the continued development of disclosure law. However, disclosure law is not immune from criticism, and these criticisms will be examined also.