15 U.S.C. § 78a — Short title

Page 202 TITLE 15—COMMERCE AND TRADE § 78a Sec. 78m. Periodical and other reports. 78m–1. Reporting and recordkeeping for certain secu- rity-based swaps. 78m–2. Reporting requirements regarding coal or other mine safety. 78n. Proxies. 78n–1. Shareholder approval of executive compensa- tion. 78n–2. Corporate governance. 78o. Registration and regulation of brokers and dealers. 78o–1. Brokers deemed to be registered. 78o–2. Liabilities arising prior to amendment unaf- fected. 78o–3. Registered securities associations. 78o–4. Municipal securities. 78o–4a. Commission Office of Municipal Securities. 78o–5. Government securities brokers and dealers. 78o–6. Securities analysts and research reports. 78o–7. Registration of nationally recognized statis- tical rating organizations. 78o–8. Universal ratings symbols. 78o–9. Study and rulemaking on assigned credit rat- ings. 78o–10. Registration and regulation of security-based swap dealers and major security-based swap participants. 78o–11. Credit risk retention. 78p. Directors, officers, and principal stock- holders. 78q. Records and reports. 78q–1. National system for clearance and settlement of securities transactions. 78q–2. Automated quotation systems for penny stocks. 78r. Liability for misleading statements. 78s. Registration, responsibilities, and oversight of self-regulatory organizations. 78t. Liability of controlling persons and persons who aid and abet violations. 78t–1. Liability to contemporaneous traders for in- sider trading. 78u. Investigations and actions. 78u–1. Civil penalties for insider trading. 78u–2. Civil remedies in administrative proceedings. 78u–3. Cease-and-desist proceedings. 78u–4. Private securities litigation. 78u–5. Application of safe harbor for forward-look- ing statements. 78u–6. Securities whistleblower incentives and pro- tection. 78u–7. Implementation and transition provisions for whistleblower protection. 78v. Hearings by Commission. 78w. Rules, regulations, and orders; annual re- ports. 78x. Public availability of information. 78y. Court review of orders and rules. 78z. Unlawful representations. 78aa. Jurisdiction of offenses and suits. 78aa–1. Special provision relating to statute of limi- tations on private causes of action. 78bb. Effect on existing law. 78cc. Validity of contracts. 78dd. Foreign securities exchanges. 78dd–1. Prohibited foreign trade practices by issuers. 78dd–2. Prohibited foreign trade practices by domes- tic concerns. 78dd–3. Prohibited foreign trade practices by persons other than issuers or domestic concerns. 78ee. Transaction fees. 78ff. Penalties. 78gg. Separability. 78hh. Effective date. 78hh–1. Effective date of certain sections. 78ii, 78jj. Omitted or Repealed. 78kk. Authorization of appropriations. 78ll. Requirements for the EDGAR system. 78mm. General exemptive authority. Sec. 78nn. Tennessee Valley Authority. 78oo. Federal National Mortgage Association, Fed- eral Home Loan Mortgage Corporation, Federal Home Loan Banks. 78pp. Investor Advisory Committee. 78qq. Small Business Capital Formation Advisory Committee. 78rr. Data standards for security-based swap re- porting. § 78a. Short title This chapter may be cited as the ‘‘Securities Exchange Act of 1934.’’ (June 6, 1934, ch. 404, title I, § 1, 48 Stat. 881.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in text, was in the original ‘‘This Act’’ meaning the Securities Exchange Act of 1934, act June 6, 1934, ch. 404. The act was divided into two titles as follows: ‘‘Title I—Regulation of Securities Exchanges’’ and ‘‘Title II—Amendments to Securities Act of 1933.’’ This section was section 1 of title I of the Act, which title, as amended, is set out as sections 78a to 78d–5, 78e to 78l, 78m, 78m–1, 78n to 78o, 78o–3, 78o–4, 78o–5 to 78o–7, 78o–10 to 78u–6, 78v to 78dd–1, 78ee to 78hh, 78mm, and 78pp to 78rr of this title. Sections 78kk, 78ll, 78nn, 78oo, and 78rr of this title, which were directed to be added at the end of the Securities Exchange Act of 1934, have been treated in the Code as added to title I of the Act to reflect the probable intent of Congress. See Codification notes set out under those sections. Title II of the act amended or repealed sections 77b, 77c, 77d, 77e, 77j, 77k, 77m, 77o, and 77s of this title, and added former sections 78ii and 78jj of this title. For complete classification of this Act to the Code, see Ta- bles. Statutory Notes and Related Subsidiaries SHORT TITLE 2022 AMENDMENT Pub. L. 117–263, div. E, title LVIII, § 5801, Dec. 23, 2022, 136 Stat. 3421, provided that: ‘‘This title [enacting sec- tions 77z–4 and 78rr of this title and sections 14a, 253, 1772e, 1772f, 1831cc, 1831dd, 4527, 4528, 5334, 5335, 5498, and 5499 of Title 12, Banks and Banking, amending sections 77g, 78d, 78m, 78n, 78o–3, 78o–4, 78o–7, 80a–8, 80a–29, and 80b–4 of this title and sections 1467a, 1844, 5361, and 5468 of Title 12, enacting provisions set out as notes under sections 77g, 78o–3, 78o–4, and 78rr of this title and sec- tions 14a, 253, 1772e, 1831cc, 4527, 5334, 5335, and 5498 of Title 12, and amending provisions set out as a note under section 5491 of Title 12] may be cited as the ‘Fi- nancial Data Transparency Act of 2022’.’’ SHORT TITLE OF 2018 AMENDMENT Pub. L. 115–141, div. S, title IX, § 901, Mar. 23, 2018, 132 Stat. 1143, provided that: ‘‘This title [amending section 78d of this title] may be cited as the ‘Small Business Access to Capital After a Natural Disaster Act’.’’ SHORT TITLE OF 2016 AMENDMENT Pub. L. 114–284, § 1, Dec. 16, 2016, 130 Stat. 1447, pro- vided that: ‘‘This Act [enacting section 78qq of this title and amending sections 78d and 80c–1 of this title] may be cited as the ‘SEC Small Business Advocate Act of 2016’.’’ SHORT TITLE OF 2012 AMENDMENT Pub. L. 112–106, § 1, Apr. 5, 2012, 126 Stat. 306, provided that: ‘‘This Act [enacting section 77d–1 of this title, amending sections 77b, 77c, 77d, 77e to 77g, 77r, 78c, 78k–1, 78l, 78m, 78n, 78n–1, 78o, 78o–6, 7213, and 7262 of this title, enacting provisions set out as notes under sections 77a, 77b, 77d, 77g, 77r, 78c, 78d, 78l, and 78o–6 of Page 203 TITLE 15—COMMERCE AND TRADE § 78a this title, and amending provisions set out as a note under section 78l of this title] may be cited as the ‘Jumpstart Our Business Startups Act’.’’ SHORT TITLE OF 2010 AMENDMENT Pub. L. 111–203, title IX, § 901, July 21, 2010, 124 Stat. 1822, provided that: ‘‘This title [see Tables for classi- fication] may be cited as the ‘Investor Protection and Securities Reform Act of 2010’.’’ SHORT TITLE OF 2006 AMENDMENT Pub. L. 109–291, § 1, Sept. 29, 2006, 120 Stat. 1327, pro- vided that: ‘‘This Act [enacting section 78o–7 of this title, amending sections 78c, 78o, 78q, 78u–2, 80a–2, 80a–9, 80b–2, and 80b–3 of this title, section 4519 of Title 12, Banks and Banking, section 1087–2 of Title 20, Edu- cation, and section 181 of Title 23, Highways, and enact- ing provisions set out as notes under section 78o–7 of this title] may be cited as the ‘Credit Rating Agency Reform Act of 2006’.’’ SHORT TITLE OF 2004 AMENDMENT Pub. L. 108–458, title VII, § 7803(a), Dec. 17, 2004, 118 Stat. 3861, provided that: ‘‘This section [amending sec- tions 78l and 78o–5 of this title] may be cited as the ‘Emergency Securities Response Act of 2004’.’’ SHORT TITLE OF 2002 AMENDMENTS Pub. L. 107–204, title XI, § 1101, July 30, 2002, 116 Stat. 807, provided that: ‘‘This title [amending sections 77h–1, 78u–3, and 78ff of this title and sections 1512 and 1513 of Title 18, Crimes and Criminal Procedure, and enacting provisions set out as a note under section 994 of Title 28, Judiciary and Judicial Procedure] may be cited as the ‘Corporate Fraud Accountability Act of 2002’.’’ Pub. L. 107–123, § 1, Jan. 16, 2002, 115 Stat. 2390, pro- vided that: ‘‘This Act [enacting chapter 48 of Title 5, Government Organization and Employees, amending sections 77f, 77ggg, 78d, 78m, 78n, and 78ee of this title, sections 3132 and 5373 of Title 5, and section 1833b of Title 12, Banks and Banking, and enacting provisions set out as notes under section 78ee of this title and sec- tion 4802 of Title 5] may be cited as the ‘Investor and Capital Markets Fee Relief Act’.’’ SHORT TITLE OF 1998 AMENDMENTS Pub. L. 105–366, § 1, Nov. 10, 1998, 112 Stat. 3302, pro- vided that: ‘‘This Act [enacting section 78dd–3 of this title, amending sections 78dd–1, 78dd–2, and 78ff of this title, and enacting provisions set out as notes under section 78dd–1 of this title] may be cited as the ‘Inter- national Anti-Bribery and Fair Competition Act of 1998’.’’ Pub. L. 105–353, § 1, Nov. 3, 1998, 112 Stat. 3227, pro- vided that: ‘‘This Act [amending sections 77b, 77k, 77m, 77p, 77r, 77v, 77z–1 to 77z–3, 77aa, 77ccc, 77ddd, 77mmm, 77sss, 78c, 78d, 78g, 78n, 78o, 78o–4, 78o–5, 78q, 78s, 78t, 78u–4, 78z, 78bb, 78ee, 78kk, 78ll, 80a–2, 80a–3, 80a–12, 80a–18, 80a–29, 80a–30, 80b–3, and 80b–18a of this title and enacting provisions set out as notes under this section and sections 77p and 78u of this title] may be cited as the ‘Securities Litigation Uniform Standards Act of 1998’.’’ SHORT TITLE OF 1996 AMENDMENT Pub. L. 104–290, § 1(a), Oct. 11, 1996, 110 Stat. 3416, pro- vided that: ‘‘This Act [enacting sections 77z–3, 78mm, and 80b–3a of this title, amending sections 77b, 77c, 77f, 77r, 77ddd, 78c, 78d, 78g, 78h, 78o, 78q, 78bb, 78ee, 78kk, 80a–2, 80a–3, 80a–6, 80a–12, 80a–24, 80a–26, 80a–27, 80a–29, 80a–30, 80a–34, 80a–54, 80a–60, 80a–63, 80b–2, 80b–3, 80b–5, and 80b–18a of this title and section 1002 of Title 29, Labor, and enacting provisions set out as notes under this section, sections 77e, 77r, 78b, 78n, 78o, 78ee, 80a–2, 80a–3, 80a–24, 80a–51, 80b–2, 80b–3a, 80b–10, and 80b–20 of this title, and section 1002 of Title 29] may be cited as the ‘National Securities Markets Improvement Act of 1996’.’’ Pub. L. 104–290, title I, § 101, Oct. 11, 1996, 110 Stat. 3417, provided that: ‘‘This title [enacting sections 77z–3 and 78mm of this title, amending sections 77b, 77r, 78c, 78g, 78h, 78o, 78q, 78bb, and 80a–2 of this title, and enact- ing provisions set out as notes under sections 77e and 77r of this title] may be cited as the ‘Capital Markets Efficiency Act of 1996’.’’ Pub. L. 104–290, title IV, § 401, Oct. 11, 1996, 110 Stat. 3441, provided that: ‘‘This title [amending sections 77f, 78d, 78ee, and 78kk of this title and enacting provisions set out as notes under this section and section 78ee of this title] may be cited as the ‘Securities and Exchange Commission Authorization Act of 1996’.’’ SHORT TITLE OF 1995 AMENDMENT Pub. L. 104–67, § 1(a), Dec. 22, 1995, 109 Stat. 737, pro- vided that: ‘‘This Act [enacting sections 77z–1, 77z–2, 78j–1, 78u–4, and 78u–5 of this title, amending sections 77k, 77l, 77t, 78o, 78t, 78u, and 78u–4 of this title and sec- tion 1964 of Title 18, Crimes and Criminal Procedure, and enacting provisions set out as notes under sections 77k, 77l, and 78j–1 of this title] may be cited as the ‘Pri- vate Securities Litigation Reform Act of 1995’.’’ SHORT TITLE OF 1994 AMENDMENTS Pub. L. 103–389, § 1, Oct. 22, 1994, 108 Stat. 4081, pro- vided that: ‘‘This Act [amending section 78l of this title] may be cited as the ‘Unlisted Trading Privileges Act of 1994’.’’ Pub. L. 103–325, title II, § 201, Sept. 23, 1994, 108 Stat. 2198, provided that: ‘‘This subtitle [subtitle A (§§ 201–210) of title II of Pub. L. 103–325 enacting section 1835 of Title 12, Banks and Banking, amending sections 77r–1, 78c, 78g, 78h, and 78k of this title and sections 24, 1464, and 1757 of Title 12, and enacting provisions set out as notes under section 78b of this title and section 3305 of Title 12] may be cited as the ‘Small Business Loan Securitization and Secondary Market Enhance- ment Act of 1994’.’’ SHORT TITLE OF 1993 AMENDMENT Pub. L. 103–202, § 1(a), Dec. 17, 1993, 107 Stat. 2344, pro- vided that: ‘‘This Act [enacting section 3130 of Title 31, Money and Finance, amending sections 78c, 78f, 78n, 78o, 78o–3, 78o–5, 78s, and 78w of this title, and enacting provisions set out as notes under this section, sections 78f, 78n, and 78o–5 of this title, and section 3121 of Title 31] may be cited as the ‘Government Securities Act Amendments of 1993’.’’ Pub. L. 103–202, title III, § 301, Dec. 17, 1993, 107 Stat. 2359, provided that: ‘‘This title [amending sections 78f, 78n, and 78o–3 of this title and enacting provisions set out as notes under sections 78f and 78n of this title] may be cited as the ‘Limited Partnership Rollup Re- form Act of 1993’.’’ SHORT TITLE OF 1990 AMENDMENTS Pub. L. 101–550, § 1, Nov. 15, 1990, 104 Stat. 2713, pro- vided that: ‘‘This Act [amending sections 77ccc to 77eee, 77iii to 77rrr, 77uuu, 77vvv, 78c, 78d, 78n, 78o, 78o–4, 78o–5, 78q–1, 78x, 78kk, 79z–5, 80a–2, 80a–9, 80a–44, 80a–45, 80b–2, 80b–3, 80b–10, and 80b–18 of this title and enacting provisions set out as notes under this section and sections 77aaa and 78n of this title] may be cited as the ‘Securities Acts Amendments of 1990’.’’ Pub. L. 101–550, title I, § 101, Nov. 15, 1990, 104 Stat. 2713, provided that: ‘‘This title [amending sections 77uuu, 78d, 78kk, 79z–5, 80a–45, and 80b–18 of this title] may be cited as the ‘Securities and Exchange Commis- sion Authorization Act of 1990’.’’ Pub. L. 101–550, title II, § 201, Nov. 15, 1990, 104 Stat. 2714, provided that: ‘‘This title [amending sections 78c, 78d, 78o, 78o–4, 78o–5, 78q–1, 78x, 80a–2, 80a–9, 80a–44, 80b–2, 80b–3, and 80b–10 of this title] may be cited as the ‘International Securities Enforcement Cooperation Act of 1990’.’’ Pub. L. 101–550, title III, § 301, Nov. 15, 1990, 104 Stat. 2721, provided that: ‘‘This title [amending section 78n of this title and enacting provisions set out as a note Page 204 TITLE 15—COMMERCE AND TRADE § 78a under section 78n of this title] may be cited as the ‘Shareholder Communications Improvement Act of 1990’.’’ Pub. L. 101–432, § 1, Oct. 16, 1990, 104 Stat. 963, provided that: ‘‘This Act [enacting section 1831l of Title 12, Banks and Banking, amending sections 78i, 78l, 78m, 78o–5, 78q, 78q–1, and 78y of this title, and enacting pro- visions set out as notes under sections 78b and 78q–1 of this title] may be cited as the ‘Market Reform Act of 1990’.’’ Pub. L. 101–429, § 1(a), Oct. 15, 1990, 104 Stat. 931, pro- vided that: ‘‘This Act [enacting sections 77h–1, 78q–2, 78u–2, and 78u–3 of this title, amending sections 77g, 77t, 78c, 78o, 78o–3, 78o–4, 78q–1, 78u, 78u–1, 78w, 78cc, 80a–9, 80a–41, 80b–3, 80b–9, and 80b–14 of this title, and enacting provisions set out as notes under this section and sec- tions 77g, 78o, and 78s of this title] may be cited as the ‘Securities Enforcement Remedies and Penny Stock Reform Act of 1990’.’’ Pub. L. 101–429, title V, § 501, Oct. 15, 1990, 104 Stat. 951, provided that: ‘‘This title [enacting section 78q–2 of this title, amending sections 77g, 78c, 78o, 78o–3, and 78cc of this title, and enacting provisions set out as notes under sections 78o and 78s of this title] may be cited as the ‘Penny Stock Reform Act of 1990’.’’ SHORT TITLE OF 1988 AMENDMENTS Pub. L. 100–704, § 1, Nov. 19, 1988, 102 Stat. 4677, pro- vided that: ‘‘This Act [enacting sections 78t–1, 78u–1, and 80b–4a of this title, amending sections 78c, 78o, 78u, 78ff, and 78kk of this title, and enacting provisions set out as notes under sections 78b, 78o, and 78u–1 of this title] may be cited as the ‘Insider Trading and Securi- ties Fraud Enforcement Act of 1988’.’’ Pub. L. 100–418, title V, § 5001, Aug. 23, 1988, 102 Stat. 1415, provided that: ‘‘This part [part I (§§ 5001–5003) of subtitle A of title I of Pub. L. 100–418, amending sec- tions 78m, 78dd–1, 78dd–2, and 78ff of this title and en- acting provisions set out as a note under section 78dd–1 of this title] may be cited as the ‘Foreign Corrupt Prac- tices Act Amendments of 1988’.’’ SHORT TITLE OF 1987 AMENDMENT Pub. L. 100–181, § 1, Dec. 4, 1987, 101 Stat. 1249, provided that: ‘‘This Act [enacting sections 78d–1, 78d–2, and 78ll of this title, amending sections 77b, 77c, 77f, 77i, 77s, 77t, 77v, 77ccc, 78c, 78d, 78f, 78k–1, 78l, 78m, 78o, 78o–4, 78o–5, 78q, 78q–1, 78u, 78w, 78aa, 78bb, 78kk, 78lll, 79h, 79r, 79x, 79y, 79z–4, 80a–2, 80a–3, 80a–5, 80a–6, 80a–9, 80a–12, 80a–15, 80a–17, 80a–18, 80a–20, 80a–21, 80a–22, 80a–24, 80a–26, 80a–28, 80a–35, 80a–41, 80a–52, 80a–53, 80a–54, 80a–56, 80b–2, 80b–3, 80b–5, 80b–9, 80b–11, 80b–13, and 80b–14 of this title, and repealing sections 78d–1, 78d–2, and 78jj of this title] may be cited as the ‘Securities and Exchange Commis- sion Authorization Act of 1987’.’’ SHORT TITLE OF 1986 AMENDMENT Pub. L. 99–571, § 1(a), Oct. 28, 1986, 100 Stat. 3208, pro- vided that: ‘‘This Act [enacting section 78o–5 of this title and section 9110 of Title 31, Money and Finance, amending sections 78c, 78o, 78o–3, 78q, 78w, 78y, 80a–9, and 80b–3 of this title and section 3121 of Title 31, and enacting provisions set out as notes under section 78o–5 of this title] may be cited as the ‘Government Securi- ties Act of 1986’.’’ SHORT TITLE OF 1985 AMENDMENT Pub. L. 99–222, § 1, Dec. 28, 1985, 99 Stat. 1737, provided that: ‘‘This Act [amending section 78n of this title and enacting a provision set out as a note under section 78n of this title] may be cited as the ‘Shareholder Commu- nications Act of 1985’.’’ SHORT TITLE OF 1984 AMENDMENT Pub. L. 98–376, § 1, Aug. 10, 1984, 98 Stat. 1264, provided that: ‘‘This Act [amending sections 78c, 78o, 78t, 78u, and 78ff of this title and enacting provisions set out as a note under section 78c of this title] may be cited as the ‘Insider Trading Sanctions Act of 1984’.’’ SHORT TITLE OF 1977 AMENDMENT Pub. L. 95–213, title I, § 101, Dec. 19, 1977, 91 Stat. 1494, provided that: ‘‘This title [enacting sections 78dd–1 and 78dd–2 of this title and amending sections 78m and 78ff of this title] may be cited as the ‘Foreign Corrupt Prac- tices Act of 1977’.’’ Pub. L. 95–213, title II, § 201, Dec. 19, 1977, 91 Stat. 1498, provided that: ‘‘This title [amending sections 78m and 78o of this title] may be cited as the ‘Domestic and For- eign Investment Improved Disclosure Act of 1977’.’’ SHORT TITLE OF 1975 AMENDMENT Pub. L. 94–29, § 1, June 4, 1975, 89 Stat. 97, provided: ‘‘That this Act [enacting sections 78k–1, 78o–4, 78q–1, and 78kk of this title, amending sections 77d, 77x, 77yyy, 78b, 78c, 78d–1, 78f, 78h, 78k, 78l, 78m, 78o, 78o–3, 78q, 78s, 78u, 78w, 78x, 78y, 78bb, 78ee, 78ff, 78iii, 79z–3, 80a–9, 80a–10, 80a–13, 80a–15, 80a–16, 80a–18, 80a–31, 80a–35, 80a–48, 80b–3, 80b–4, and 80b–17 of this title, and enacting provisions set out as notes under sections 78b and 78f of this title] may be cited as the ‘Securities Acts Amend- ments of 1975’.’’ SHORT TITLE OF 1964 AMENDMENT Pub. L. 88–467, § 1, Aug. 20, 1964, 78 Stat. 565, provided: ‘‘That this Act [amending sections 77d, 78c, 78l to 78o, 78o–3, 78p, 78t, 78w, and 78ff of this title and enacting provisions set out as a note under section 78c of this title] may be cited as the ‘Securities Acts Amendments of 1964’.’’ SHORT TITLE OF 1936 AMENDMENT Act May 27, 1936, ch. 462, 49 Stat. 1375, enacting sec- tions 78l–1, 78o–1, 78o–2, and 78hh–1 of this title, and amending sections 78l, 78o, 78q, 78r, 78t, 78u, 78w, and 78ff of this title, is popularly known as the Unlisted Se- curities Trading Act. SEVERABILITY Pub. L. 104–290, § 3, Oct. 11, 1996, 110 Stat. 3417, pro- vided: ‘‘If any provision of this Act [see Short Title of 1996 Amendment note above], an amendment made by this Act, or the application of such provision or amend- ment to any person or circumstance is held to be un- constitutional, the remainder of this Act, the amend- ments made by this Act, and the application of the pro- visions of such to any person or circumstance shall not be affected thereby.’’ CONGRESSIONAL FINDINGS OF 1998 AMENDMENT Pub. L. 105–353, § 2, Nov. 3, 1998, 112 Stat. 3227, pro- vided that: ‘‘The Congress finds that— ‘‘(1) the Private Securities Litigation Reform Act of 1995 [see Short Title of 1995 Amendment note above] sought to prevent abuses in private securities fraud lawsuits; ‘‘(2) since enactment of that legislation, consider- able evidence has been presented to Congress that a number of securities class action lawsuits have shift- ed from Federal to State courts; ‘‘(3) this shift has prevented that Act from fully achieving its objectives; ‘‘(4) State securities regulation is of continuing im- portance, together with Federal regulation of securi- ties, to protect investors and promote strong finan- cial markets; and ‘‘(5) in order to prevent certain State private secu- rities class action lawsuits alleging fraud from being used to frustrate the objectives of the Private Securi- ties Litigation Reform Act of 1995, it is appropriate to enact national standards for securities class action lawsuits involving nationally traded securities, while preserving the appropriate enforcement powers of State securities regulators and not changing the cur- rent treatment of individual lawsuits.’’ PURPOSES OF 1996 AMENDMENT Pub. L. 104–290, title IV, § 402, Oct. 11, 1996, 110 Stat. 3441, provided: ‘‘The purposes of this title [see Short Title of 1996 Amendment note above] are— Page 205 TITLE 15—COMMERCE AND TRADE § 78b ‘‘(1) to authorize appropriations for the Commission for fiscal year 1997; and ‘‘(2) to reduce over time the rates of fees charged under the Federal securities laws.’’ DEFINITIONS Pub. L. 104–290, § 2, Oct. 11, 1996, 110 Stat. 3417, pro- vided: ‘‘For purposes of this Act [see Short Title of 1996 Amendment note above]— ‘‘(1) the term ‘Commission’ means the Securities and Exchange Commission; and ‘‘(2) the term ‘State’ has the same meaning as in section 3 of the Securities Exchange Act of 1934 [15 U.S.C. 78c].’’ § 78b. Necessity for regulation For the reasons hereinafter enumerated, transactions in securities as commonly con- ducted upon securities exchanges and over-the- counter markets are effected with a national public interest which makes it necessary to pro- vide for regulation and control of such trans- actions and of practices and matters related thereto, including transactions by officers, di- rectors, and principal security holders, to re- quire appropriate reports, to remove impedi- ments to and perfect the mechanisms of a na- tional market system for securities and a na- tional system for the clearance and settlement of securities transactions and the safeguarding of securities and funds related thereto, and to impose requirements necessary to make such regulation and control reasonably complete and effective, in order to protect interstate com- merce, the national credit, the Federal taxing power, to protect and make more effective the national banking system and Federal Reserve System, and to insure the maintenance of fair and honest markets in such transactions: (1) Such transactions (a) are carried on in large volume by the public generally and in large part originate outside the States in which the exchanges and over-the-counter markets are located and/or are effected by means of the mails and instrumentalities of interstate commerce; (b) constitute an impor- tant part of the current of interstate com- merce; (c) involve in large part the securities of issuers engaged in interstate commerce; (d) involve the use of credit, directly affect the fi- nancing of trade, industry, and transportation in interstate commerce, and directly affect and influence the volume of interstate com- merce; and affect the national credit. (2) The prices established and offered in such transactions are generally disseminated and quoted throughout the United States and for- eign countries and constitute a basis for deter- mining and establishing the prices at which securities are bought and sold, the amount of certain taxes owing to the United States and to the several States by owners, buyers, and sellers of securities, and the value of collateral for bank loans. (3) Frequently the prices of securities on such exchanges and markets are susceptible to manipulation and control, and the dissemina- tion of such prices gives rise to excessive spec- ulation, resulting in sudden and unreasonable fluctuations in the prices of securities which (a) cause alternately unreasonable expansion and unreasonable contraction of the volume of credit available for trade, transportation, and industry in interstate commerce, (b) hinder the proper appraisal of the value of securities and thus prevent a fair calculation of taxes owing to the United States and to the several States by owners, buyers, and sellers of securi- ties, and (c) prevent the fair valuation of col- lateral for bank loans and/or obstruct the ef- fective operation of the national banking sys- tem and Federal Reserve System. (4) National emergencies, which produce widespread unemployment and the dislocation of trade, transportation, and industry, and which burden interstate commerce and ad- versely affect the general welfare, are precip- itated, intensified, and prolonged by manipu- lation and sudden and unreasonable fluctua- tions of security prices and by excessive specu- lation on such exchanges and markets, and to meet such emergencies the Federal Govern- ment is put to such great expense as to burden the national credit. (June 6, 1934, ch. 404, title I, § 2, 48 Stat. 881; Pub. L. 94–29, § 2, June 4, 1975, 89 Stat. 97; Pub. L. 111–203, title IX, § 985(b)(1), July 21, 2010, 124 Stat. 1933.) Editorial Notes AMENDMENTS 2010—Pub. L. 111–203 substituted ‘‘effected’’ for ‘‘af- fected’’ in introductory provisions. 1975—Pub. L. 94–29 inserted ‘‘to remove impediments to and perfect the mechanisms of a national market system for securities and a national system for the clearance and settlement of securities transactions and the safeguarding of securities and funds related there- to,’’ after ‘‘require appropriate reports,’’ in introduc- tory provisions. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2010 AMENDMENT Amendment by Pub. L. 111–203 effective 1 day after July 21, 2010, except as otherwise provided, see section 4 of Pub. L. 111–203, set out as an Effective Date note under section 5301 of Title 12, Banks and Banking. EFFECTIVE DATE OF 1975 AMENDMENT Pub. L. 94–29, § 31(a), June 4, 1975, 89 Stat. 170, pro- vided that: ‘‘This Act [enacting sections 78k–1, 78o–4, 78q–1, and 78kk of this title, amending this section and sections 77d, 77x, 77yyy, 78c, 78d–1, 78f, 78h, 78k, 78l, 78m, 78o, 78o–3, 78q, 78s, 78u, 78w, 78x, 78y, 78bb, 78ee, 78ff, 78iii, 79z–3, 80a–9, 80a–10, 80a–13, 80a–15, 80a–16, 80a–18, 80a–31, 80a–35, 80a–48, 80b–3, 80b–4, and 80b–17 of this title, and enacting provisions set out as notes under sections 78a and 78f of this title] shall become effective on the date of its enactment [June 4, 1975] except as hereinafter provided. The amendments made by this Act to sections 3(a)(12), 6(a) through (d), 11A(b), 15(a), 15A, 15B(a), 17A(b), and (c), and 19(g) of the Securities Exchange Act of 1934 [sections 78c(a)(12), 78f(a) through (d), 78k–1(b), 78o(a), 78o–3, 78o–4(a), 78q–1(b) and (c), and 78s(g) of this title] shall become effective one hundred eighty days after the date of enactment of this Act [June 4, 1975], and the amendments made by this Act to section 31 of the Securities Exchange Act of 1934 [sec- tion 78ee of this title] shall become effective on Janu- ary 1, 1976. Neither the provisions of section 3(a)(3), 6(b)(2), or 6(c)(1) of the Securities Exchange Act of 1934 (as amended by this Act) [section 78c(a)(3), 78f(b)(2), or 78f(c)(1) of this title] nor any rule or regulation there- under shall apply so as to deprive any person of mem- bership in any national securities exchange (or its suc-