Monthly Archives: August 2012

144 Stock in Exchange for Consulting Services

When Does My Holding Period Start if I Receive 144 Stock for Consulting? If you provide consulting services for the issuing company, under SEC Rule 144, your holding period begins only after you have actually and completely performed the services.  … Continue reading

Posted in Rule 144 | Tagged , , , , , , | Leave a comment

What Are The Exceptions to SEC Rule 144?

Some Examples of Exceptions to Rule 144 Stock included in a Registration Statement is not subject to Rule 144 if sold exactly as described in the Issuer’s Prospectus.  If not sold exactly as specified then Rule 144 is applied. Stock … Continue reading

Posted in Rule 144 | Tagged , , , , , , , , , | Leave a comment

Must I Intend to Actually Sell My Restricted Stock Under Rule 144 to Get An Opinion Letter?

Only Affiliates of the Issuer Must Intend to Actually Sell Their 144 stock This is another area within SEC Rule 144 where Affiliates and Non-Affiliates of an Issuing Company are treated differently.  While a Non-Affiliate is not required to have … Continue reading

Posted in Rule 144 | Tagged , , , , , , | Leave a comment

Do I Need a Broker To Obtain A Rule 144 Opinion to Sell Restricted Stock?

Under Rule 144 Only Affiliates of the Issuer Need a Broker to Sell Only an Affiliate of the Issuer must engage a Broker in order to sell stock of the issuing company (both restricted and unrestricted stock) into the public … Continue reading

Posted in Rule 144 | Tagged , , , , , , | Leave a comment

How To Tell If You’re Buying Restricted Stock From An Affiliate

How Can I Tell If the Seller in a Private Sale is an Affiliate Under Rule 144? Since an “Affiliate” is defined as a “control person” of the Issuer, ask what role the Seller may have played in the founding … Continue reading

Posted in Rule 144 | Tagged , , , , , , , | Leave a comment

Since Rule 144 Doesn’t Apply to Private Sales Why Do I Need a 144 Opinion Letter?

Even if your restricted 144 stock was acquired by gift or from a private sale transaction, the issuer’s  Transfer Agent (and the issuing company itself) will nevertheless still require a 144 opinion letter because the letter is not designed to … Continue reading

Posted in Rule 144 | Tagged , , , , , | Leave a comment

How Long Will My Form 144 Last?

How long is my Form 144 valid after I submit to the SEC? If you’re an Affiliate of the issuing company, your Form 144 is valid for three (3) months from the date you filed it with the SEC. What Happens … Continue reading

Posted in Rule 144 | Tagged , , , , , | Leave a comment

After I Sign SEC Form 144, How Long Do I Have To Sell My Restricted Stock?

Ninety (90) Days.  As an Affiliate of the issuer, your Form 144 is valid  for three (3) months from the filing date. But if some of your 144 restricted stock remains unsold after that time frame, you can fill out … Continue reading

Posted in Rule 144 | Tagged , , , , | Leave a comment