Insights

Taking Advantage of the JOBS Act

April 15, 2012

Management Liability/D&O

The purpose of the recently passed Jumpstart Our Business Startups Act, also known as the JOBS Act, is to make it easier for companies to raise capitalthe life blood of high-growth start-ups. This Act is good news for smaller companies that want to raise capital. It also inevitably raises personal liability concerns for directors and officers of the companies raising capital. Properly addressed, however, these concerns do not have to evolve into actual problems for directors and officers.

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