15 U.S.C. § 80a–47 — Liability of controlling persons; preventing compliance with subchapter

submitted 86 years ago by ch. 686 to r/title-15-COMMERCE-AND-TRADE · 182 words · no verdicts yet

in plain englishAI-generated · not legal advice

No one can use another person to do something this law forbids them from doing directly. Knowingly or recklessly helping someone else break this law counts as breaking it yourself. Blocking required filings or recordkeeping without good reason is also unlawful.

(a) Procurement. It's unlawful for anyone, directly or indirectly, to cause an act to be done through someone else, if it would be unlawful for them to do it themselves under this law or its rules or orders. (b) Substantially assisting a violation. For an SEC action under section 80a–41(d) or (e), anyone who knowingly or recklessly gives substantial assistance to someone else's violation of this law, or of a rule made under it, is treated as having violated it too, to the same extent as the person they assisted. (c) Obstructing compliance. It's unlawful for anyone, without just cause, to hinder, delay, or obstruct the making, filing, or keeping of any information, document, report, record, or account required under this law or its rules or orders.

the actual law source: uscode.house.gov ↗public domain

(a) Procurement

It shall be unlawful for any person, directly or indirectly, to cause to be done any act or thing through or by means of any other person which it would be unlawful for such person to do under the provisions of this subchapter or any rule, regulation, or order thereunder.

(b) Substantially assisting a violation

For purposes of any action brought by the Commission under subsection (d) or (e) of section 80a–41 of this title, any person that knowingly or recklessly provides substantial assistance to another person in violation of a provision of this subchapter, or of any rule or regulation issued under this subchapter, shall be deemed to be in violation of such provision to the same extent as the person to whom such assistance is provided.

It shall be unlawful for any person without just cause to hinder, delay, or obstruct the making, filing, or keeping of any information, document, report, record, or account required to be made, filed, or kept under any provision of this subchapter or any rule, regulation, or order thereunder.

Source credit: (Aug. 22, 1940, ch. 686, title I, § 48, 54 Stat. 846; Pub. L. 111–203, title IX, § 929M(b), July 21, 2010, 124 Stat. 1861.)

history & why it existsrecord from the source credit

1940Enacted · Act of Aug. 22, 1940, ch. 686 · 54 Stat. 846
2010Amended · Pub. L. 111-203 · 124 Stat. 1861

A history note hasn’t been published yet. The record shows enactment by ch. 686 on 1940-08-22.

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