Jenner & Block

Client Advisory: SEC Proposes New Rules for Disclosure by Issuers of Credit Ratings and Liability of Rating Agencies as "Experts"

In this Client Advisory, Partners Jerry J. Burgdoerfer, William L. Tolbert, Elaine Wolff and Associate Erik R. Daly discuss the SEC’s proposed changes to its disclosure rules and reporting requirements to provide investors with a better understanding of credit ratings and their limitations. In a companion concept release, the SEC sought comment on whether it should rescind the rule that exempts certain credit rating agencies from liability as “experts.” The authors examine how these proposed amendments would affect disclosure by issuers of credit ratings in registration statements and periodic reports as well as the liability of issuers and credit rating agencies for such disclosure.