9th Circ. Hotel-Condo Ruling Eases Developers' SEC Worries

Law360, New York (August 16, 2013, 7:48 PM ET) -- The Ninth Circuit's ruling earlier this week that condo-style units sold at San Diego's Hard Rock Hotel could not be considered securities for the purpose of fraud claims let hotel-condo developers breathe a sigh of relief and provided further guidance on how to avoid registering unit sales with the SEC, experts say.

The ruling — which found that an eight-to-15-month gap between the real estate purchase of the units and the execution of a rental management agreement meant that the deals did not constitute securities transactions...
To view the full article, take a free trial now.
Try Law360 for free for seven days
Already a subscriber? Click here to login

Already have access?

  1. Forgot your password?
  2. Sign In

Get instant access to the one-stop news source for business lawyers