Business & Company Research Guide

Subsidiary Information

Value to Lawyers

  1. Legal Compliance and Risk Management: Understanding the structure of a company, including its subsidiaries, helps lawyers ensure that the company complies with various legal and regulatory requirements. It also aids in identifying potential legal risks and liabilities associated with the subsidiaries.
  2. Due Diligence: In mergers and acquisitions, lawyers need to conduct thorough due diligence to assess the financial health, legal standing, and potential liabilities of the target company's subsidiaries. This helps in making informed decisions and negotiating better terms.
  3. Corporate Governance: Lawyers advise on corporate governance matters, including the roles and responsibilities of the parent company and its subsidiaries. This ensures that the subsidiaries operate in alignment with the parent company's policies and objectives.
  4. Litigation and Dispute Resolution: In legal disputes, knowing the relationships between parent companies and their subsidiaries can be critical. It helps in determining the appropriate parties to involve in litigation and understanding the extent of liability.
  5. Contractual Agreements: Lawyers draft and review contracts that may involve subsidiaries. Knowing the structure and control of subsidiaries ensures that contracts are accurately tailored to the business relationships and obligations.

How Lawyers Identify Subsidiaries

  1. Public Filings and Reports: Lawyers can review public filings such as SEC filings (e.g., 10-K, 10-Q) which often list subsidiaries. These documents are available on the SEC's EDGAR database.
  2. Company Websites: The Investor Relations section of a company's website may provide information about its subsidiaries.
  3. Business Databases: Subscription-based databases like Capital IQ, FactSet, and D&B Hoovers provide detailed information on companies and their subsidiaries. UC Law SF does not have direct access to these databases, however Westlaw, Bloomberg Law and Lexis all have access to SEC filings with a list of subsidaries.
  4. Corporate Records: Lawyers can access corporate records from the Office of the Secretary of State or similar regulatory bodies, which may list subsidiaries.
Private Companies

Since private companies do not provide information to the SEC, you may be able to find information on their subsidiaries using Mergent Intellect which is a database that is made available to all CA residents by the San Francisco Public Library. You will need a library card to access it.