- blue sky laws
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n.State statutes that regulate the issue and sale of securities.
The Essential Law Dictionary. — Sphinx Publishing, An imprint of Sourcebooks, Inc. Amy Hackney Blackwell. 2008.
- blue sky laws
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The laws that aim to protect people from investing in sham companies that consist of nothing but "blue sky." Blue sky laws require that companies seeking to sell stock to the public submit information to and obtain the approval of a state or federal official who oversees corporate activity.Category: Business, LLCs & Corporations
Nolo’s Plain-English Law Dictionary. Gerald N. Hill, Kathleen Thompson Hill. 2009.
- blue sky laws
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USAThis term refers to state statutes providing for the regulation and supervision of securities offerings and sales. Most blue sky laws require the registration of new issues of securities with a state agency that reviews selling documents for accuracy and completeness. Blue sky laws also often regulate securities brokers and salesmen. State securities laws are similar in scope to the federal securities laws.See Practice Note, Registration Process: Overview (www.practicallaw.com/7-380-8736).
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.
- blue sky laws
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n.laws intended to protect the public from purchasing stock in fraudulent companies that lack substance, such as those selling swamp land, non-existent gold strikes and dry oil wells, or who have no assets besides a post office box. Blue sky laws require that corporations advertising and selling shares to the public must get approval from the state corporations commissioner and/or the Securities and Exchange Commission after providing details on financing and management. The term comes from the intent to prevent the existence of corporations that have nothing behind them but "blue sky."
Law dictionary. EdwART. 2013.