Should the SEC Allow IPOs When Bylaws Require Arbitration of Federal Securities Claims? | New York Law Journal

There has been renewed interest in whether the SEC should allow a U.S. company to conduct a registered initial public offering if its bylaws require shareholders to arbitrate federal securities claims. In April 2018, SEC Chair Jay Clayton said that resolving this knotty issue is not a priority for the Commission, but the Supreme Court’s May 2018 pro-arbitration decision in Epic Systems Corp. v. Lewis, 138 S. Ct. 1612 (2018), may embolden an IPO candidate to force the issue.

via Should the SEC Allow IPOs When Bylaws Require Arbitration of Federal Securities Claims? | New York Law Journal.