Crowdfunding Disclaimers Aren’t Adequate to Avoid Liability under U.S. Securities Laws

Regina M. Joseph

Regina M. Joseph

Warning to non-United States equity crowdfunding sites: it’s not enough to warn that offerings are not being made to United States residents.  Your procedures must verify that investors are not United States residents.  On November 10, 2014, the United States Securities and Exchange Commission (“SEC”) entered a cease and desist order (the “Order”) against crowdfunding site Eureeca Capital SPC (Case No. 3-16265). Continue reading