- (A) Authority and purpose
- (1) The Division enacts this rule under authority granted by Subsection 61-1-14(2)(v) and Section 61-1-24.
(2) This rule provides an exemption for offers effected through the Internet which do not result in sales in Utah.
- (B) Definitions
- (1) "Division" means the Division of Securities, Utah Department of Commerce.
- (2) "Internet" means the global information system comprised of independent computer networks which are interconnected and share information without the use of a central processing center by use of the Transmission Control Protocol/Internet Protocol (TCP/IP) suite, to include without limitation, the World Wide Web, proprietary or "common carrier" electronic delivery systems, or similar medium.
(3) "Internet Offer" means a communication, regarding the offering of securities within the meaning of Subsection 61-1-13(1)(bb)(ii), made on the Internet and directed generally to anyone who has access to the Internet, including persons in Utah.
- (C) Exemption
- (1) The Division finds that registration is not necessary or appropriate for the protection of investors in connection with Internet Offers, provided:
- (1)(a) an offer is not specifically directed to any person in Utah;
- (1)(b) the Internet Offer indicates that the securities are not being offered to and sales will not be effected with persons in Utah; and
- (1)(c) no sales of the issuer's securities are made in Utah as a result of the Internet Offer.
KEY: securities, securities regulation
Date of Last Change: June 8, 2017
Notice of Continuation: June 1, 2022
Authorizing, and Implemented or Interpreted Law: 61-1-7; 61-1-8; 61-1-9; 61-1-10; 61-1-20; 61-1-22; 61-1-24