Monday, June 22, 2015

Securities Act (Alberta) - Exempt Market Securities Exemption

A few years back I had a few clients who used the Exempt Market Securities Exemption to raise private placement capital for various business ventures.  The market "crashed" in 2008-2009 and this lead to many investors not seeing their monies returned.  Notwithstanding the clear warning that the investment was a "risky" investment and an investor could "loss all of their money", the Securities Commission has pursued many of these fundraisers.  I think the manner in which they attack this is that the fundraiser made a misrepresentation which is actionable pursuant to the Securities Act (Alberta).

While searching the web the other day for an update on the various exemptions which are available I came across the website of Venture Law Corp. which I thought was impressive enough to blog about; there are three links to three separate topics:

Notwithstanding that Bridgeland Law can assist you in protecting yourself either as a fundraiser or investor in respect of these types of  private placements of capital, it is instructive to read these excellent summaries by Venture Law Corp.   Please remember that these articles are NOT legal advice and that you should hire a lawyer to seek legal advice specific to your circumstances and particular fact situation.