A purchaser, seller, or recipient of investment advice may not maintain an action under
section 502.509 if all of the following apply:
§502.510, UNIFORM SECURITIES ACT (BLUE SKY LAW) 48
1.The purchaser, seller, or recipient of investment advice receives in a record, before the
action is instituted, any of the following:
a.Anofferstatingtherespectinwhichliabilityundersection502.509mayhavearisenand
fairly advising the purchaser, seller, or recipient of investment advice of that person’s rights
in connection with the offer, and any financial or other information necessary to correct all
materialmisrepresentationsoromissionsintheinformationthatwasrequiredbythischapter
to be furnished to that person at the time of the purchase, sale, or investment advice.
b.If the basis for relief under this
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A purchaser, seller, or recipient of investment advice may not maintain an action under
section 502.509 if all of the following apply:
§502.510, UNIFORM SECURITIES ACT (BLUE SKY LAW) 48
1. The purchaser, seller, or recipient of investment advice receives in a record, before the
action is instituted, any of the following:
a. Anofferstatingtherespectinwhichliabilityundersection502.509mayhavearisenand
fairly advising the purchaser, seller, or recipient of investment advice of that person’s rights
in connection with the offer, and any financial or other information necessary to correct all
materialmisrepresentationsoromissionsintheinformationthatwasrequiredbythischapter
to be furnished to that person at the time of the purchase, sale, or investment advice.
b. If the basis for relief under this section may have been a violation of section 502.509,
subsection 2, an offer to repurchase the security for cash, payable on delivery of the security,
equal to the consideration paid, and interest at the legal rate from the date of the purchase,
less the amount of any income received on the security; or, if the purchaser no longer owns
thesecurity, anoffertopaythepurchaseruponacceptanceoftheofferdamagesinanamount
that would be recoverable upon a tender, less the value of the security when the purchaser
disposed of it, and interest at the legal rate from the date of the purchase in cash equal to the
damages computed in the manner provided in this subsection.
c. If the basis for relief under this section may have been a violation of section 502.509,
subsection 3, an offer to tender the security, on payment by the seller of an amount equal to
the purchase price paid, less income received on the security by the purchaser and interest
at the legal rate from the date of the sale; or if the purchaser no longer owns the security, an
offer to pay the seller upon acceptance of the offer, in cash, damages in the amount of the
difference between the price at which the security was purchased and the value the security
would have had at the time of the purchase in the absence of the purchaser’s conduct that
may have caused liability and interest at the legal rate of interest from the date of the sale.
d. If the basis for relief under this section may have been a violation of section 502.509,
subsection 4; and if the customer is a purchaser, an offer to pay as specified in paragraph “b”;
or, if the customer is a seller, an offer to tender or to pay as specified in paragraph “c”.
e. If the basis for relief under this section may have been a violation of section 502.509,
subsection 5, an offer to reimburse in cash the consideration paid for the advice and interest
at the legal rate from the date of payment.
f. If the basis for relief under this section may have been a violation of section 502.509,
subsection 6, an offer to reimburse in cash the consideration paid for the advice, the amount
of any actual damages that may have been caused by the conduct, and interest at the legal
rate from the date of the violation causing the loss.
2. The offer under subsection 1 states that it must be accepted by the purchaser, seller, or
recipient of investment advice within thirty days after the date of its receipt by the purchaser,
seller, or recipient of investment advice or any shorter period, of not less than three days, that
the administrator, by order, specifies.
3. The offeror has the present ability to pay the amount offered or to tender the security
under subsection 1.
4. The offer under subsection 1 is delivered to the purchaser, seller, or recipient of
investment advice, or sent in a manner that ensures receipt by the purchaser, seller, or
recipient of investment advice.
5. The purchaser, seller, or recipient of investment advice that accepts the offer under
subsection 1 in a record within the period specified under subsection 2 is paid in accordance
with the terms of the offer.
6. If the basis for relief under this section alleges a violation of section 502.509 which
employed a device, scheme, or artifice to defraud, made an untrue statement of a material
fact necessary in order to make the statement made, in light of the circumstances under
which it was made, not misleading, or engaged in an act, practice, or course of business that
operated or would operate as a fraud or deceit on another person, the offer is filed with the
administrator ten business days before the offering and conforms in form and content with
a rule prescribed by the administrator.