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News | 05.17.13

Company Disclosure in the Age of Social Media: The Old Rules Still Apply

In its recently released directive on the use of social media by public companies to inform investors about material developments, the U.S. Securities and Exchange Commission confirmed that social media will not be treated differently than any other communications channel.  As such, disclosures made via social media are clearly not exempt from the established regulatory structure governing issuers' corporate communications, including the requirements imposed under the SEC's Regulation FD.  In the May 3, 2013 issue of Bloomberg BNA's Corporate Accountability Report, Morrison Cohen partner David Lerner and associate Adam Jablon review the specific circumstances in which an issuer's use of social media may be viewed by the SEC as Regulation FD-compliant or not, and provide suggestions for establishing an effective protocol for communicating with the public using social media.  To view the article, please click here.

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