{"id":7925,"date":"2025-09-23T16:06:55","date_gmt":"2025-09-23T20:06:55","guid":{"rendered":"https:\/\/seci.wpenginepowered.com\/?p=7925"},"modified":"2025-09-23T16:07:00","modified_gmt":"2025-09-23T20:07:00","slug":"sec-announces-new-policy-addressing-the-effect-of-arbitration-clauses-on-registration-statements","status":"publish","type":"post","link":"https:\/\/seciblog.pli.edu\/index.php\/sec-announces-new-policy-addressing-the-effect-of-arbitration-clauses-on-registration-statements\/","title":{"rendered":"SEC Announces New Policy Addressing the Effect of Arbitration Clauses on Registration Statements"},"content":{"rendered":"<p style=\"font-weight: 400;\">On September 17, 2025, the SEC issued a <a href=\"https:\/\/www.sec.gov\/files\/rules\/policy\/33-11389.pdf\">Policy Statement<\/a> stating that the presence of a mandatory arbitration provision in a corporation\u2019s governing documents will not affect decisions about accelerating effectiveness of registration statements.<\/p>\n<p style=\"font-weight: 400;\">In the <a href=\"https:\/\/www.sec.gov\/newsroom\/press-releases\/2025-120-sec-issues-policy-statement-clarifying-mandatory-arbitration-provisions-will-not-affect\">Press Release<\/a> announcing the policy, Chairman Paul S. Atkins stated:<\/p>\n<p style=\"font-weight: 400; padding-left: 40px;\">&#8220;While many people will express views on whether a company should adopt a mandatory arbitration provision, the Commission\u2019s role in this debate is to provide clarity that such provisions are not inconsistent with the federal securities laws.\u201d<\/p>\n<p style=\"font-weight: 400;\">You can read a thoughtful discussion about the policy statement, including a historical perspective about merit versus disclosure regulation, in this blog post by Gary Brown of Nelson Mullins Riley &amp; Scarborough titled \u201c<a href=\"https:\/\/www.nelsonmullins.com\/insights\/blogs\/securities-in-a-second\/all\/blame-fdr-not-atkins-for-the-sec-s-policy-statement-on-arbitration-provisions\">Blame FDR, not Atkins, for the SEC\u2019s Policy Statement on Arbitration Provisions<\/a>.\u201d<\/p>\n<p style=\"font-weight: 400;\">Gary is also a SEC Institute workshop leader and chairs PLI\u2019s <em>Understanding the Securities Law<\/em> conference.<\/p>\n<p style=\"font-weight: 400;\">As always, your thoughts and comments are welcome!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On September 17, 2025, the SEC issued a Policy Statement stating that the presence of a mandatory arbitration provision in a corporation\u2019s governing documents will not affect decisions about accelerating effectiveness of registration statements. In the Press Release announcing the policy, Chairman Paul S. Atkins stated: &#8220;While many people will express views on whether a &hellip; <a href=\"https:\/\/seciblog.pli.edu\/index.php\/sec-announces-new-policy-addressing-the-effect-of-arbitration-clauses-on-registration-statements\/\" class=\"more-link\">Continue reading <span class=\"screen-reader-text\">SEC Announces New Policy Addressing the Effect of Arbitration Clauses on Registration Statements<\/span> <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":9,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2},"_wpas_customize_per_network":false},"categories":[256],"tags":[],"coauthors":[154],"class_list":["post-7925","post","type-post","status-publish","format-standard","hentry","category-sec-news"],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"post_mailing_queue_ids":[],"_links":{"self":[{"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/posts\/7925","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/comments?post=7925"}],"version-history":[{"count":0,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/posts\/7925\/revisions"}],"wp:attachment":[{"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/media?parent=7925"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/categories?post=7925"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/tags?post=7925"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/seciblog.pli.edu\/index.php\/wp-json\/wp\/v2\/coauthors?post=7925"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}