The JOBS Act: Important Questions For Private Funds

Law360, New York (March 7, 2013, 11:00 AM EST) -- On Aug. 29, 2012, the U.S. Securities and Exchange proposed amendments to Rule 506 of Regulation D of the Securities Act of 1933 (Securities Act) that would eliminate its long-standing ban on general solicitation and general advertising for certain securities offerings. The proposal, which implements certain components of the Jumpstart Our Business Startups Act (JOBS Act), would require (1) all purchasers of securities sold in such offerings to be accredited investors and (2) that issuers take reasonable steps to verify that their purchasers are accredited investors....
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