Do not include introduction nor definition of moral hazard, just address the question : Based on the resources provided and uploaded provide the arguments as to why the MAC Clause cannot perfectly prevent Moral Hazard, discuss the 2 contrasting theories (Gilson & Schwatz and Miller) Consider this thesis statement: the MAC Clause does not prevent moral hazard (at least not directly),we hold that the structural construction and definition of the MAC clause is not aimed towards addressing moral hazard behaviour, but rather the MAC Clause function is to address contingencies and the types of risks defined or to be defined that could materially affect the overall value of the target company, through the allocation of risks.However as will be seen further other contractual elements such as representation and warranties and interim covenant do address the incentives of the parties behaviour towards the mitigation or prevention of moral hazard.