Tweet-Math Creates SEC Compliance Questions

The SEC has issued guidance for companies that want to use twitter as a vehicle for making some kinds of public statements. The problem arises when the requirement for accompanying disclosures (aka a “legend”) regarding the importance of the statement and how the reader can obtain additional relevant documents bumps up against the 140 character limit. That can be addressed by providing links for the reader to follow, but questions remain and a guidance issued by the SEC last month doesn’t clearly answer them, says Husch Blackwell attorney Candace Jackson. She recommends a conservative approach until there is further clarification.