SEC Requires "Municipal Advisors" to Register by October 1, 2010

In our prior alert on the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Act), we reported that the Act requires the regulation of certain previously unregulated participants in the municipal securities market, which the Act calls "municipal advisors." The Securities and Exchange Commission (SEC) has adopted a temporary rule requiring municipal advisors to register with the SEC. Specifically, any person or entity whose activities bring them within the definition of a municipal advisor must complete the Municipal Advisor Temporary Registration Form (Form MA-T).

What is a municipal advisor?

• A person (who is not a municipal entity or an employee of a municipal entity) that (i) provides advice to or on behalf of a municipal entity or obligated person with respect to municipal financial products or the issuance of municipal securities, including advice with respect to the structure, timing, terms, and other similar matters concerning such financial