(a)(1) Subject to the provisions of paragraph (a)(2) of this section, each commodity pool operator registered or required to be registered under the Act must deliver or cause to be delivered to a prospective participant in a pool that it operates or intends to operate a Disclosure Document for the pool prepared in accordance with §§ 4.24 and 4.25 by no later than the time it delivers to the prospective participant a subscription agreement for the pool; Provided, That any information distributed in advance of the delivery of the Disclosure Document to a prospective participant is consistent with or amended by the information contained in the Disclosure Document and with the obligations of the commodity pool operator under the Act, the Commission's regulations issued thereunder, and the laws of any other applicable federal or state authority; Provided, further, That in the event such previously distributed information is amended by the Disclosure Document in any material respect, the prospective participant must be in receipt of the Disclosure Document at least 48 hours prior to its subscription being accepted by the pool operator.
(2) For the purpose of the Disclosure Document delivery requirement in this part, including any offering memorandum delivered pursuant to § 4.7(b)(2)(i) or § 4.12(b)(2)(i), the term “prospective pool participant” does not include a commodity pool operated by a pool operator that is the same as, or that controls, is controlled by, or is under common control with, the pool operator of the offered pool.
(b) [Reserved]
[60 FR 38183, July 25, 1995, as amended at 62 FR 39115, July 22, 1997; 65 FR 58649, Oct. 2, 2000; 68 FR 47234, Aug. 8, 2003; 78 FR 52333, Aug. 22, 2013; 89 FR 78813, Sept. 26, 2024]
Notes of Decisions
United States v. Steven Sawyer, Harvey M. Bloch, Allen C. Leavitt, 799 F.2d 1494 (11th Cir. 1986).
· cites it 3× “17 C.F.R. § 4.21 (1985). Barbara Stern, special *1501 counsel to the CFTC testified that the disclosure statement is designed to protect unsophisticated investors and, therefore, must contain information the CFTC believes material to an investment decision.”
Davis v. Coopers & Lybrand, 787 F. Supp. 787 (N.D. Ill. 1992).
“21(h), 12 17 C.F.R. §§ 4.21 (g)(2) and 4.21(h), which require pool operators (1) to amend disclosure documents within 21 days after they either know or have reason to know that the documents contain inaccuracies (Reg.”
U.S. Commodity Futures Trading Comm'n v. States, 673 F. Supp. 2d 1320 (S.D. Fla. 2009).
· cites it 2× “21, 17 C.F.R. § 4.21 . 11. States, by failing to distribute to each pool participant an Account Statement presented and prepared in accordance with Commission Regulation 4.”
Commodity Futures Trading Comm'n v. Fin. Tree (E.D. Cal. 2022).
· cites it 3× “22, 14 17 C.F.R. §§ 4.21 , 4.22 (2021), including but not limited to required cautionary statements, risk 15 disclosures, fees and expenses incurred by the Black Pools, past performance disclosures, a 16 statement that the CPO is required to provide all pool participants with…”
Commodity Futures Trading Comm'n v. Fin. Tree (E.D. Cal. 2020).
· cites it 2× “22 ( 17 C.F.R. §§ 4.21 , 4.22 (2019)) require CPOs to 8 provide pool participants and prospective pool participants certain disclosures and other 9 documents, in accordance with Regulations 4.”
Annotations are extracted automatically from the opinions in the
Syfert caselaw corpus and ranked by authority, recency, and
treatment. Dots show Syfertize treatment of the citing case itself.