Senate Bill 2226

    Florida Senate - 1999                                  SB 2226

    By Senator Sebesta





    20-1557-99

  1                      A bill to be entitled

  2         An act relating to the sale of securities;

  3         amending s. 517.211, F.S.; providing that a

  4         sale of securities by a dealer, associated

  5         person, or issuer who is not registered with

  6         the Department of Banking and Finance may be

  7         rescinded by the purchaser; providing that an

  8         investment adviser or associated person who

  9         engages in business without being registered

10         with the department may have such business

11         canceled by the purchaser; providing an

12         effective date.

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14  Be It Enacted by the Legislature of the State of Florida:

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16         Section 1.  Subsection (1) of section 517.211, Florida

17  Statutes, is amended to read:

18         517.211  Remedies available in cases of unlawful

19  sale.--

20         (1)  Every sale made in violation of either s. 517.07

21  or s. 517.12(1) or (4) s. 517.12 may be rescinded at the

22  election of the purchaser; and the person making the sale and

23  every director, officer, partner, or agent of or for the

24  seller, if the director, officer, partner, or agent has

25  personally participated or aided in making the sale, is

26  jointly and severally liable to the purchaser in an action for

27  rescission, if the purchaser still owns the security, or for

28  damages, if the purchaser has sold the security. No purchaser

29  otherwise entitled will have the benefit of this subsection

30  who has refused or failed, within 30 days of receipt, to

31  accept an offer made in writing by the seller, if the

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 1999                                  SB 2226
    20-1557-99




  1  purchaser has not sold the security, to take back the security

  2  in question and to refund the full amount paid by the

  3  purchaser or, if the purchaser has sold the security, to pay

  4  the purchaser an amount equal to the difference between the

  5  amount paid for the security and the amount received by the

  6  purchaser on the sale of the security, together, in either

  7  case, with interest on the full amount paid for the security

  8  by the purchaser at the legal rate, pursuant to s. 55.03, for

  9  the period from the date of payment by the purchaser to the

10  date of repayment, less the amount of any income received by

11  the purchaser on the security.

12         Section 2.  This act shall take effect July 1, 1999.

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15                          SENATE SUMMARY

16    Provides that a sale of securities by a dealer,
      associated person, or issuer who is not registered with
17    the Department of Banking and Finance may be rescinded by
      the purchaser and that an investment adviser or
18    associated person who engages in business without being
      registered with the department may have such business
19    canceled by the purchaser.

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