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Simple English definitions for legal terms

enhanced scrutiny test

Read a random definition: bastardy process

A quick definition of enhanced scrutiny test:

The enhanced scrutiny test is a way to evaluate the decisions made by a company's board of directors during a takeover. The test has two parts: the reasonableness test and the proportionality test. The reasonableness test requires the board to show that they had a good reason to believe that the takeover would harm the company. The proportionality test requires the board to show that their response to the takeover was reasonable and not too extreme. If the board passes both tests, then their decisions will be evaluated using the business judgment rule. In constitutional law, the enhanced scrutiny test is used to determine if a law is constitutional.

A more thorough explanation:

The enhanced scrutiny test is a legal term used in corporation law and constitutional law.

In corporation law, the enhanced scrutiny test was established in Unocal Corp. v. Mesa Petroleum, 493 A.2d 946 (Del. 1985), also known as the Unocal Test. The test is applied to a target board's decision-making process when a takeover is occurring, to determine if the business judgment rule will apply to their decisions.

There are two prongs to the enhanced scrutiny test:

  • Reasonableness Test: The target board must demonstrate that it had reasonable grounds for believing that a danger to corporate policy and effectiveness existed.
  • Proportionality Test: The target board must demonstrate that its action or response was reasonable in relation to the threat posed and that the response was not draconian and inappropriate in response to the threat.

If both prongs of the enhanced scrutiny test are satisfied, then the court will use the business judgment rule to evaluate decisions made by the target board.

In constitutional law, the enhanced scrutiny test is a term used to refer to intermediate scrutiny, which is used to determine the constitutionality of a statute.

An example of the enhanced scrutiny test in corporation law is when a company is facing a hostile takeover bid. The target board must show that they had reasonable grounds for believing that the takeover would harm the company's policies and effectiveness. They must also show that their response to the takeover bid was proportionate to the threat posed.

An example of the enhanced scrutiny test in constitutional law is when a law is challenged for violating the Equal Protection Clause of the Fourteenth Amendment. The court will apply intermediate scrutiny to determine if the law is constitutional. This means that the law must be substantially related to an important government interest.

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9:31
some people hate him. some people love him, but he a real one: https://youtu.be/w5oEqiVQcF4?t=173
9:32
[kevin oleary]
worthless i trust you implicitly you know what it will happen now.
worthless i trust you implicitly you know what it will happen now.
worthless i trust you implicitly you know what it will happen now.
worthless i trust you implicitly you know what it will happen now.
worthless i trust you implicitly you know what it will happen now.
WorthlessAttractiveZombie
9:34
I mean if Fordham doesn't release today I will purposefully get on a train, go to new york, and then take the stinkiest shit inside the admission office's toilet (potentially clogging it and forcing them to get a plumber)
IS IT ONLY ON MY END WHY DID THAT SEND TEN MILLION TIMES
HELLO
WorthlessAttractiveZombie
9:35
it sent a million times lol
WHAT HAPPENED
yeah i thought you were tweaking for a second
i'm so sorry everyone what the actual fuck this website hates me
WorthlessAttractiveZombie
9:35
Jack's just tweaking on LSD no biggie
to be fair this accurately represents my mental state
election day psychosis coming in hot (fordham)
usc pls pull through .....
i literally just need one A so i can relax before my ED decision
WorthlessAttractiveZombie
9:38
oh that's right USC might release
soapy
9:43
USC still has not looked at my app
WorthlessAttractiveZombie
9:43
when did you submit soapy?
soapy
9:44
10/16
WorthlessAttractiveZombie
9:44
to be fair it took them almost 2 months for me to go under review
soapy
9:44
Feelin a bit stressed, as I've got no date change for Michigan either despite applying 10/7
WorthlessAttractiveZombie
9:45
I have not had a date change either for Mich but I've seen people get in without one so who knows
I applied 9/25 to like 6 schools and some (Houston) have no date change yet so dw
soapy
9:46
But do people get in without addresses going long?
WorthlessAttractiveZombie
9:46
it's tough to tell because a lot of people type out their addresses long to begin with
soapy
9:46
Ah. I didn't. Looking back, my Mich supplement kind of sucks, so there's that
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