SEC Staff No Longer Requires “Tandy” Representations in Filing Reviews
On October 5, the staff (Staff) of the Securities and Exchange Commission announced that, effective immediately, a company will no longer be required to make affirmative “Tandy” representations in correspondence with the Staff in connection with the Staff’s review of the company’s filings. Previously, the Staff required a company to acknowledge in writing its responsibility for the disclosures in its filings and also that the company would not raise the Staff’s review process and acceleration of effectiveness as a defense in any legal proceeding. In connection with the Staff’s new policy, the Staff will include in its review comment letters a statement reminding a company and its management of their responsibility for the accuracy and adequacy of disclosures, notwithstanding any review, comments, action or absence of action by the Staff.
The SEC’s press release is available here.