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investment contract |
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investment contract “Any contract, transaction or scheme whereby a person invests money in a common enterprise and is led to expect profits solely from the efforts of the promoter or third party,” is the definition used by the Securities and Exchange Commission (SEC).Investment contracts related to real estate come within the definition.Nationwide litigation is currently under way to say that purchases of units in hotel condominiums—condotels—are also investment contracts.If something qualifies,it is possibly subject to registration,reporting,and disclosure requirements imposed by the SEC. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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