Securities and Exchange Commission v. Ralston Purina Co.
United States Supreme Court
346 U.S. 119 (1953)
Relevant factsFree
Ralston Purina (defendant) offered stock to any employee eligible for a promotion -- a broad category including many low-income workers -- and the SEC (plaintiff) sued for failure to register, with Ralston arguing the sale was an exempt private offering since it went only to employees; the district court and court of appeals both ruled for Ralston.
IssueFree
Whether a sale of securities is exempt from registration if the class of persons involved in the sale requires the protections the federal securities acts afford.
Related cases
Securities and Exchange Commission v. Kenton Capital, Ltd.69 F. Supp. 2d 1 (D.D.C. 1998)Doran v. Petroleum Management Corp.545 F.2d 893 (5th Cir. 1977)United Housing Foundation, Inc. v. Forman421 U.S. 837 (1975)Securities and Exchange Commission v. Variable Annuity Life Insurance Co. of America359 U.S. 65 (1959)Gustafson v. Alloyd Company, Incorporated513 U.S. 561 (1995)