The U.S. Securities and Exchange Commission adopted technical amendments to Rule 0-1(a)(7) to align its regulations with a 2006 federal court decision vacating two investment company governance conditions tied to reliance on certain exemptive rules. The amendments remove requirements for boards to have at least 75% independent directors and an independent chair. The U.S. Court of Appeals for the District of Columbia Circuit vacated those requirements, but the regulatory text had not been updated to reflect the ruling.
U.S. Securities & Exchange Commission2026-08-04
U.S. Securities and Exchange Commission adopts technical amendments removing vacated fund board requirements
The U.S. Securities and Exchange Commission adopted technical amendments aligning its regulations with a 2006 federal court ruling. The changes remove vacated requirements for at least 75% independent directors and an independent chair as conditions for relying on certain exemptive rules.