Rules and Regulations
promulgated
under the
Investment Company Act of 1940
Rule 17a-5 -- Pro Rata Distribution Neither "Sale" nor "Purchase."
When a company makes a pro rata distribution in cash or in kind among its common
stockholders without giving any election to any stockholder as to the specific assets
which such stockholders shall receive, such distribution shall not be deemed to involve
a sale to or a purchase from such distributing company as those terms are used in
section 17(a) of the Act.
Notice to Users: The Deskbook is made available
with the understanding that the University of Cincinnati College
of Law is not engaged in rendering legal, accounting or other professional
services. If legal advice or other expert assistance is required,
the services of a competent professional person should be sought. See Terms and Conditions of Use.
