§ 77iii. — Effective time of qualification.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 15USC77iii]
TITLE 15--COMMERCE AND TRADE
CHAPTER 2A--SECURITIES AND TRUST INDENTURES
SUBCHAPTER III--TRUST INDENTURES
Sec. 77iii. Effective time of qualification
(a) Effective time of registration or application for qualification of
indenture
The indenture under which a security has been or is to be issued
shall be deemed to have been qualified under this subchapter--
(1) when registration becomes effective as to such security; or
(2) when an application for the qualification of such indenture
becomes effective, pursuant to section 77ggg of this title.
(b) Stop orders after effective time of qualification
After qualification has become effective as to the indenture under
which a security has been or is to be issued, no stop order shall be
issued pursuant to section 77h(d) of this title, suspending the
effectiveness of the registration statement relating to such security or
of the application for qualification of such indenture, except on one or
more of the grounds specified in section 77h of this title, or the
failure of the issuer to file an application as provided for by section
77eee(b)(2) of this title.
(c) Effect of subsequent rule or regulation on qualification
The making, amendment, or rescission of a rule, regulation, or order
under the provisions of this subchapter (except to the extent authorized
by subsection (a) of section 77nnn of this title with respect to rules
and regulations prescribed pursuant to such subsection) shall not affect
the qualification, form, or interpretation of any indenture as to which
qualification became effective prior to the making, amendment, or
rescission of such rule, regulation, or order.
(d) Liability of trustee under qualified indenture
No trustee under an indenture which has been qualified under this
subchapter shall be subject to any liability because of any failure of
such indenture to comply with any of the provisions of this subchapter,
or any rule, regulation, or order thereunder.
(e) Power of Commission to conduct investigation
Nothing in this subchapter shall be construed as empowering the
Commission to conduct an investigation or other proceeding for the
purpose of determining whether the provisions of an indenture which has
been qualified under this subchapter are being complied with, or to
enforce such provisions.
(May 27, 1933, ch. 38, title III, Sec. 309, as added Aug. 3, 1939, ch.
411, 53 Stat. 1157; amended Pub. L. 101-550, title IV, Sec. 405, Nov.
15, 1990, 104 Stat. 2723.)
Amendments
1990--Subsec. (b). Pub. L. 101-550 inserted before period at end ``,
or the failure of the issuer to file an application as provided for by
section 77eee(b)(2) of this title''.
Transfer of Functions
For transfer of functions of Securities and Exchange Commission,
with certain exceptions, to Chairman of such Commission, see Reorg. Plan
No. 10 of 1950, Secs. 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat.
1265, set out under section 78d of this title.
