The Exemption Framework Under the USA

What this video covers

• The three, and only three, lawful paths to offer or sell a security in a state: registration, exemption, or federal covered status
• Why exempt securities are permanently exempt based on what the security inherently is, and how that exemption travels with the security regardless of who sells it or how
• Why exempt transactions are only temporarily exempt based on how the sale is conducted, and why resale of the same security can require registration
• Whether antifraud provisions apply to registered securities, exempt securities, exempt transactions, and federal covered securities (they all do)
• Why no exemption of any kind provides protection from antifraud enforcement or civil liability for misstatements and omissions
• Who bears the burden of proving an exemption applies when the Administrator challenges it