Asset-Backed Deals Get Ratings Disclosure Reprieve

Law360, New York (July 23, 2010, 12:37 PM EDT) -- Issuers of asset-backed securities will be allowed to file registration statements without including credit ratings for six months, the U.S. Securities and Exchange Commission has said, allowing for a temporary bypass of a complication sparked by the new financial reform law enacted Wednesday.

Normally bond issuers are required to include credit ratings in documents filed when registering new asset-backed securities for sale. But the Dodd-Frank financial reform law President Barack Obama signed Wednesday may expose credit rating agencies to new legal liability for ratings included in...
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