No-Action Letter

Definition

An SEC letter indicating that no civil or criminal action will be taken against an individual engaging in a particular activity; sent in response to a written request for clarification when the legality of the activity in question is not well-established.

Use No-Action Letter in a sentence

You should try to make sure that you fully understand why you received the no-action letter and what you did wrong.

​ Was this Helpful? YES  NO 8 people found this helpful.

The Board of Directors will authorize the purchase once we receive a No-Action Letter from the SEC for each member of the board.

​ Was this Helpful? YES  NO 9 people found this helpful.

Even though my boss was concerned that the proposed stock swap was not legal, he was relieved to learn we would receive a no-action letter from the SEC and the deal could proceed.

​ Was this Helpful? YES  NO 10 people found this helpful.

Show more usage examples...

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
no transaction fee (NTF) mutual fund nob spread