Wells Fargo & Co Essay Example | Topics and Well Written Essays - 1000 words

Wells Fargo & Co - Essay Example Security and Exchange Commission is a US government administrative agency that was created by the congress to supervise and control the securities markets and protect investors. It is designed to enhance full public disclosure and to protect the investing public from fraud and exploitative actions in the securities markets. The securities act of 1993 was established by the congress to achieve two basic goals; to prohibit and prevent deceit and other fraud in the sale of securities and to ensure that investors get and other important information concerning securities being offered for public sale. The act empowers the SEC with wide jurisdiction over all aspects of securities industry including registering, regulating, overseeing brokerage firms, transfer agents and clearing agents, well defined services offered by the Wells and Fargo Co. Moreover, some of the acts of law governing the SEC include Trust Indenture Act of 1940 that applies to debt securities such as bonds, debentures and notes that offer public sale and Investment Advisers Act of 1940 that regulates investment advisers. The act requires that firms or sole practitioners compensated for advising others about securities investments must register with SEC to conform to regulations protecting investors. Through this different laws and regulation, the SEC has managed to prevent and control high risk gambles in banking to boost the economy (Sullivan 2003). In Business Law, all contacts are agreements but all agreements are not contacts. An agreement to be enforceable by law must possess the essential elements of a valid contract. The following are essential elements of a valid contact; Offer and Acceptance: In order to create a valid contract there must be a â€Å"lawful offer† by one party and â€Å"lawful acceptance† by the other party. This means that the offer must be accepted exactly as offered without conditions. Intention to create