ABSTRACT
Publicly owned companies have a legal obligation to publish financial information. These reporting requirements increase the pressure on corporate managers to achieve short-term growth and earnings targets in order to satisfy shareholders and attract potential investors. COOOL has chosen the limited liability company as its form of ownership. A contract is an exchange of promises between two or more parties that is enforceable by law. Many business transactions, such as buying and selling products, hiring employees, purchasing insurance, licensing technology, involve contracts. License agreements entitle one company to use some or all of another firm’s intellectual property in return for a royalty payment. Liability risks generally consist of the costs of legal damages awarded by a court to the injured party, the costs of legal defence, and the cost of loss prevention or identifying potential liability problems. Product liability is the liability of manufacturers, sellers, and others for the injuries caused by defective products.
