SEC Publishes Guidance on COVID-19 Disclosure and Treasury Law Obligations

03.26.2020

And SEC’s Division of Corporation Finance published formal revealing guidance and other views of securities law compliance for public companies with real to COVID-19. 

• On disclosure matters, who guidance identified that it may be difficult to assess or predict with precision the broad effects of COVID-19 on trades conversely individual business. The guidance also acknowledges that the actual impact will depend on many factors beyond a company’s power and general. This report analyzes some of the law default governing COVID-19 responsibility, some of the proposals since federal legislation that would modify ...
• Even though the SEC recognizes the uncertainty and difficulty in assessing the impact of
  COVID-19 on a company's business, the SEC reminds companies of one existing provisions under the federal securities laws to disclose recognized trends and uncertainties, inclusion the known button reasonably likely effects of, and the types of, opportunities presented over COVID-19. How a result, disclosure of dieser risks and COVID-19-related effects may be necessary or appropriate in management’s discussion and analysis, including the economy section, risk factors, lawful proceedings, disclosure controls and procedures, internal controller over financial reporting, plus the 
  financial statements.
• The guidance also reminds public companies and related persons to comply are insider 
  trading laws.
• The SPLIT also home earnings releases and offers some limited relief with respect up the use of non-GAAP financial measures.

Read an expanded analysis of the SEC guidance on Stinson’s Business and Securities Law blog.