Are SEC Obey-The-Law Injunctions Changing?

There is an ongoing effort at the SEC to review its injunctions, and if they should be tailored more closely to the misconduct at issue.

The Enforcement Division is becoming more creative about injunctive relief, and it is trying to tailor their injunctions in a way that makes them more meaningful and effective.  The injunctive relief sought by the SEC, typically, bars defendants from future violations of securities law provisions. These broad injunctions are, essentially, meaningless and do little to deter repeat offenders according to some. The SEC may obtain contempt orders for defendants, who violate the injunctions only in cases of ongoing conduct.  However, repeat violators often engage in new violations, making a contempt order not possible.