Section 876 IAC 2-12-11 - Securities law aspects of real estate transactionsAuthority: IC 25-34.1-2-5
Affected: IC 25-34.1-5
Sec. 11.
The competency and instructional level for subdivisions (1) through (5) is Level 1. The following are concepts of federal laws relating to the Securities Act of 1933 and the Securities Exchange Act of 1934:
(2) Definition of "security" including the following: (A) Investment contracts.(B) Interests in real estate limited partnerships.(C) Other interests in real estate ownership entities involving "profit sharing arrangements".(3) Requirements of the Securities Act of 1933 including the following: (A) Registration of all "securities" with Securities Exchange Commission (SEC) (unless exempt for some reason).(B) Truthful and complete disclosure of all pertinent facts about the property and transaction.(D) Civil liabilities and criminal penalties.(4) Requirements of the Securities Exchange Act of 1934 including the following: (A) Persons selling "securities" must have a federal securities license (with certain exemptions).(B) Most licensing handled by National Association of Securities Dealers (NASD) under authority of the federal law.(5) Applicability and enforcement of federal securities laws, generally applicable except for certain securities transactions which are wholly "intrastate"; enforced by Securities and Exchange Commission (SEC).Indiana Real Estate Commission; 876 IAC 2-12-11; filed Dec 1, 1989, 5:00 p.m.: 13 IR 664; readopted filed Jun 29, 2001, 9:56 a.m.: 24 IR 3824; readopted filed Jul 19, 2007, 12:57 p.m.: 20070808-IR-876070067RFA