Alert October 12, 2010

SEC Proposes Disclosure Rules for Asset-Backed Securities Pursuant to Dodd-Frank Act

The SEC issued a rule proposal pursuant to Section 943 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which would require issuers of asset-backed securities to disclose certain repurchase history information to the SEC and in prospectuses and ongoing reports, and would require NRSROs to provide information about representations, warranties and enforcement mechanisms available to investors in reports accompanying credit ratings for asset‑backed securities offerings.  The period for public comment on the proposal continues through November 15, 2010.  The SEC must adopt final rules addressing the matters specified in Section 943 by January 17, 2011.