GroundRules
17 CFR 270.17a-5: a-5 Pro rata distribution neither “sale” nor “purchase.”
Where this section sits in the code
- Title 17—Commodity and Securities Exchanges
- CHAPTER II—SECURITIES AND EXCHANGE COMMISSION
- PART 270—RULES AND REGULATIONS, INVESTMENT COMPANY ACT OF 1940
When a company makes a pro rata distribution in cash or in kind among its common stockholders without giving any election to any stockholder as to the specific assets which such stockholders shall receive, such distribution shall not be deemed to involve a sale to or a purchase from such distributing company as those terms are used in section 17(a) of the Act.
Collected 2026-08-27T02:24:31Z. Source file · JSON