15 U.S.C. § 80a-13
No registered investment company shall, unless authorized by the vote of a majority of its outstanding voting securities-
In the case of a common-law trust of the character described in section 80a-16(c) of this title, either written approval by holders of a majority of the outstanding shares of beneficial interest or the vote of a majority of such outstanding shares cast in person or by proxy at a meeting called for the purpose shall for the purposes of subsection (a) be deemed the equivalent of the vote of a majority of the outstanding voting securities, and the provisions of paragraph (42) of section 80a-2(a) of this title as to a majority shall be applicable to the vote cast at such a meeting.
Notwithstanding any other provision of Federal or State law, no person may bring any civil, criminal, or administrative action against any registered investment company, or any employee, officer, director, or investment adviser thereof, based solely upon the investment company divesting from, or avoiding investing in, securities issued by persons that the investment company determines, using credible information available to the public-
Nothing in paragraph (1) shall be construed to create, imply, diminish, change, or affect in any way whether or not a private right of action exists under subsection (a) or any other provision of this chapter.
Paragraph (1) shall not apply to a registered investment company, or any employee, officer, director, or investment adviser thereof, unless the investment company makes disclosures in accordance with regulations prescribed by the Commission.
For purposes of this subsection the term "person" includes the Federal Government and any State or political subdivision of a State.
15 U.S.C. § 80a-13
Amendment of Section For termination of subsection (c)(1)(B) of this section, see section 8551(a) of Title 22, Foreign Relations and Intercourse.For termination of amendment by section 12 of Pub. L. 110-174 see Termination Date of 2007 Amendment note below.
EDITORIAL NOTES
REFERENCES IN TEXTSection 3(d) of the Sudan Accountability and Divestment Act of 2007, referred to in subsec. (c)(1)(A), is section 3(d) of Pub. L. 110-174 which is set out in a note under section 1701 of Title 50, War and National Defense.
AMENDMENTS2010-Subsec. (c)(1). Pub. L. 111-195, §203(a), amended par. (1) generally. Prior to amendment, text read as follows: "Notwithstanding any other provision of Federal or State law, no person may bring any civil, criminal, or administrative action against any registered investment company, or any employee, officer, director, or investment adviser thereof, based solely upon the investment company divesting from, or avoiding investing in, securities issued by persons that the investment company determines, using credible information that is available to the public, conduct or have direct investments in business operations in Sudan described in section 3(d) of the Sudan Accountability and Divestment Act of 2007."Subsec. (c)(2)(A). Pub. L. 111-195, §205(b)(1), amended subpar. (A) generally. Prior to amendment, text read as follows: "Paragraph (1) does not prevent a person from bringing an action based on a breach of a fiduciary duty owed to that person with respect to a divestment or non-investment decision, other than as described in paragraph (1)." 2007-Subsec. (c). Pub. L. 110-174, §§4(a), 12, temporarily added subsec. (c). See Termination Date of 2007 Amendment note below. 1975-Subsec. (b). Pub. L. 94-29 substituted "section 80a-16(c) of this title" for "subsection (b) of section 80a-16 of this title". 1970-Subsec. (a)(3). Pub. L. 91-547, §3(d), prohibited deviation from any investment policy which is changeable only if authorized by shareholder vote, substituted "section 8(b)(3)" for "section 8(b)(2)", and in the latter deviation provision struck out "fundamental" before "policy".Subsec. (b). Pub. L. 91-547, §2(b), substituted reference to "paragraph (42)" for "paragraph (40)".
STATUTORY NOTES AND RELATED SUBSIDIARIES
EFFECTIVE DATE OF 2010 AMENDMENT Pub. L. 111-195, title II, §205(b)(2), July 1, 2010, 124 Stat. 1345, provided that: "The amendment made by paragraph (1) [amending this section] shall apply as if included in the Sudan Accountability and Divestment Act of 2007 (Public Law 110-174; 50 U.S.C. 1701 note)."
TERMINATION DATE OF 2007 AMENDMENT Amendment by Pub. L. 110-174 to terminate 30 days after the date on which the President has certified to Congress that the Government of Sudan has honored certain commitments, see section 12 of Pub. L. 110-174 set out in a note under section 1701 of Title 50, War and National Defense.
EFFECTIVE DATE OF 1975 AMENDMENT Amendment by Pub. L. 94-29 effective June 4, 1975, see section 31(a) of Pub. L. 94-29 set out as a note under section 78b of this title.
EFFECTIVE DATE OF 1970 AMENDMENT Amendment by Pub. L. 91-547 effective Dec. 14, 1970, see section 30 of Pub. L. 91-547 set out as a note under section 80a-52 of this title.
SEC REGULATIONS Pub. L. 111-195, title II, §203(b), July 1, 2010, 124 Stat. 1344, provided that: "Not later than 120 days after the date of the enactment of this Act [July 1, 2010], the Securities and Exchange Commission shall issue any revisions the Commission determines to be necessary to the regulations requiring disclosure by each registered investment company that divests itself of securities in accordance with section 13(c) of the Investment Company Act of 1940 [15 U.S.C. 80a-13(c)] to include divestments of securities in accordance with paragraph (1)(B) of such section, as added by subsection (a) of this section."