SEC Seeks Public Comment for Next Phase of Disclosure Effectiveness Initiative
On August 25, 2016, the Securities and Exchange Commission (“SEC”) issued a short request for comment on the disclosure requirements codified in Items 401 through 407 of Regulation S-K, which relate primarily to “a registrant’s management, certain security holders, and corporate governance matters.” The request for comment is part of the SEC’s “Disclosure Effectiveness Initiative” – a comprehensive evaluation of the SEC’s disclosure requirements recommended by the SEC staff in its Report on Review of Disclosure Requirements in Regulation S-K, which was mandated by the Jumpstart Our Business Startups Act (“JOBS Act”). The request for comment is also intended to inform the SEC “in carrying out the study of Regulation S-K required by Section 72003(a)” of the Fixing America’s Surface Transportation Act (“FAST Act”).