Securities & Capital Markets

This advisory covers the SEC’s April 21, 2020 approval to allow NYSE-listed companies to regain compliance with stockholders equity/market capitalization and minimum price continued listing standards by tolling applicable compliance periods through June 30, 2020 due to COVID-19.

Due to the economic impact of COVID-19, especially on smaller broker-dealers, FINRA will allow small firms more time to pay their Annual Assessment (comprised of the Gross Income Assessment and the Personal Assessment).

This article covers SEC changes, made in response to the COVID-19 pandemic, that give Nasdaq listed companies additional time to regain compliance with certain continued listing requirements regarding the bid price and market value of publicly held shares. Nasdaq Temporarily Extends Compliance Periods for Certain Continued Listing Requirements as a Result of Coronavirus (COVID-19)

Several State Securities Regulators continue to warn investors of investment scams involving COVID-19.

Read about the temporary suspension of NYSE's $15 million minimum market capitalization requirement and shareholder approval rules for certain capital raising transactions.

Read about SEC C&DIs that provide guidance on its COVID-19 Order, which gives certain issuers relief from deadlines as a result of the coronavirus pandemic.

The SEC’s Office of Compliance Inspection and Examinations (OCIE) issued two risk alerts relating to Regulation Best Interest (Reg. BI).

In a Statement on April 2, the Chairman of the Securities and Exchange Commission (SEC), Jay Clayton, announced that the June 30, 2020 timeline for implementation of Regulation Best Interest (“Reg. BI”) will remain.

As financial professionals struggle to adapt during these trying times, securities regulators are also revising their processes and procedures to address the current realities of investor protection in the time of COVID-19 while being fair to the regulated entities.

Read about Massachusetts Governor Baker’s executive order that temporarily permits Mass. Public Companies to Hold Virtual-Only Shareholder Meetings.

On March 23, 2020 the SEC issued a statement warning about the risks of insider trading posed by the COVID-19 pandemic.

Read about the SEC's new Guidance on Manual Signatures Required under Rule 302(b) of Regulation S-T as a Result of Coronavirus (COVID-19).

Read about the SEC’s extension of conditional relief from filing deadlines and mailing obligations as a result of COVID-19 to July 1, 2020.

Read about the SEC’s guidance on disclosures, including those related to COVID-19 and financial reporting issues, as well as on securities trading in light of the pandemic.

This alert covers Governor Cuomo’s executive order allowing corporations in New York to hold virtual-only shareholders meetings in light of COVID-19.

On March 18, 2020, the Delaware Supreme Court (the “Court”) issued a groundbreaking decision reversing the Delaware Court of Chancery’s December 2019 ruling in Sciabacucchi v. Salzberg, 2018 Del. Ch. LEXIS 578 (Del. Ch. Dec. 19, 2018), and holding that charter provisions adopted by public companies that designate a federal forum for securities claims brought pursuant to the Securities Act of 1933 (“Federal Forum Provisions”) are valid and enforceable.

This article reviews guidance issued Friday, March 13, 2020 by the SEC’s Division of Corporation Finance to help public companies manage their upcoming annual meeting processes in light of COVID-19.

Read about the SEC’s March 4 order granting issuers and other persons relief from some securities law requirements in the event of disruptions due to the coronavirus.