SEC Act of 2025

HR 216, the SEC Act of 2025, clarifies how the Securities and Exchange Commission counts violations for penalty calculations under multiple securities laws. It specifies that separate acts of noncompliance - such as repeated false statements or ongoing failures - count as a single violation when they share a common cause, involve the same misstatement/omission, or result from a continuing failure to comply. This affects companies and individuals subject to SEC enforcement actions under the Securities Act of 1933, Securities Exchange Act of 1934, and related laws. The bill does not change what constitutes a violation but streamlines penalty assessments by preventing multiple penalties for interconnected noncompliance.