The World in U.S. Courts: Spring 2013 - Securities
March.28.2013
In a follow-on case to one discussed elsewhere in this issue, a district court in Illinois considered the Securities and Exchange Commission’s (“SEC”) allegations that defendants were brokers or dealers who were not registered with the SEC in violation of Section 15(a) of the Securities Exchange Act. The court granted summary judgment for the defendants, holding that “a broker’s failure to register under Section 15(a) of the Act is not actionable in those cases where the ultimate and intended purchase and sale was foreign and thus, itself, outside the scope of the Act.”