The U.S. Securities & Exchange Commission published a chairman’s statement responding to an opinion by the U.S. Court of Appeals for the Fifth Circuit on the Commission’s 2023 securities lending and short sale rulemakings. The court did not vacate Rule 10c-1a, Rule 13f-2, or related Form SHO, but remanded them for the SEC to consider and quantify their cumulative economic impact. Chairman Paul S. Atkins directed SEC staff to evaluate the rules in light of the opinion and develop recommendations for Commission action, including potential rule changes and possible adjustments to compliance dates. Current temporary exemptions from compliance are scheduled to end on 2 January 2026 for reporting under Rule 13f-2 and Form SHO, 28 September 2026 for reporting under Rule 10c-1a, and 29 March 2027 for the dissemination requirements under Rule 10c-1a(g) and (h)(3).
U.S. Securities & Exchange Commission 2025-09-05
U.S. Securities & Exchange Commission directs staff to reassess securities lending and short sale reporting rules after court remand
The U.S. Securities & Exchange Commission (SEC) issued a chairman’s statement in response to a U.S. Court of Appeals for the Fifth Circuit opinion on the SEC's 2023 securities lending and short sale rulemakings. The court remanded Rule 10c-1a, Rule 13f-2, and Form SHO for the SEC to assess their cumulative economic impact. Chairman Paul S. Atkins instructed SEC staff to evaluate the rules and propose recommendations, including possible rule changes.