# 17 C.F.R. § 227.501 (2026): Restrictions on resales

> Federal · Regulations · In force

URL: https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_501

## Section

- **Citation:** 17 C.F.R. § 227.501 (2026)
- **Heading:** Restrictions on resales
- **Jurisdiction:** Federal
- **Kind:** Regulations
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Title 17 CFR: Commodity and Securities Exchanges / Chapter II: SECURITIES AND EXCHANGE COMMISSION / Part 227: REGULATION CROWDFUNDING, GENERAL RULES AND REGULATIONS / Subpart E: Miscellaneous Provisions / § 227.501: § 227.501   Restrictions on resales.

## Text

(a) Securities issued in a transaction exempt from registration pursuant to section 4(a)(6) of the Securities Act (15 U.S.C. 77d(a)(6)) and in accordance with section 4A of the Securities Act (15 U.S.C. 77d-1) and this part may not be transferred by any purchaser of such securities during the one-year period beginning when the securities were issued in a transaction exempt from registration pursuant to section 4(a)(6) of the Securities Act (15 U.S.C. 77d(a)(6)), unless such securities are transferred:
(1) To the issuer of the securities;
(2) To an accredited investor;
(3) As part of an offering registered with the Commission; or
(4) To a member of the family of the purchaser or the equivalent, to a trust controlled by the purchaser, to a trust created for the benefit of a member of the family of the purchaser or the equivalent, or in connection with the death or divorce of the purchaser or other similar circumstance.
(b) For purposes of this § 227.501, the term
accredited investor
shall mean any person who comes within any of the categories set forth in § 230.501(a) of this chapter, or who the seller reasonably believes comes within any of such categories, at the time of the sale of the securities to that person.
(c) For purposes of this section, the term
member of the family of the purchaser or the equivalent
includes a child, stepchild, grandchild, parent, stepparent, grandparent, spouse or spousal equivalent, sibling, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law, or sister-in-law of the purchaser, and shall include adoptive relationships. For purposes of this paragraph (c), the term
spousal equivalent
means a cohabitant occupying a relationship generally equivalent to that of a spouse.

## Nearby sections

- [17 C.F.R. § 227.501 (2026) § 227.501   Restrictions on resales.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_501.md)
- [17 C.F.R. § 227.502 (2026) § 227.502   Insignificant deviations from a term, condition or requirement of this part (Regulation Crowdfunding).](https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_502.md)
- [17 C.F.R. § 227.503 (2026) § 227.503   Disqualification provisions.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_503.md)
- [17 C.F.R. § 227.504 (2026) § 227.504   Definition of “qualified purchaser”.](https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_504.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/CFR_T17_P227_S227_501. Check the current official text before relying on it. Not legal advice.