MLchartDataset catalogue

Investor Protection Guide: Promissory Note Scam

Term · Law · MLC-T-LAW-002767

Guidance for investors on fraudulent offerings of promissory notes, which are written promises to pay a stated sum by a certain date. Red flags include guaranteed high returns with little risk, unregistered offerings and unlicensed sellers. Notes sold to investors are often securities that must be registered or exempt, but courts apply the Reves family resemblance test, so some notes, such as ordinary consumer loans, fall outside securities law.

Table 1. Record
IdentifierMLC-T-LAW-002767
FieldLaw
Record as JSON 
{
  "id": "MLC-T-LAW-002767",
  "term": "Investor Protection Guide: Promissory Note Scam",
  "field": "Law",
  "definition": "Guidance for investors on fraudulent offerings of promissory notes, which are written promises to pay a stated sum by a certain date. Red flags include guaranteed high returns with little risk, unregistered offerings and unlicensed sellers. Notes sold to investors are often securities that must be registered or exempt, but courts apply the Reves family resemblance test, so some notes, such as ordinary consumer loans, fall outside securities law.",
  "url": "https://mlchart.com/terminology/law/investor-protection-guide-promissory-note-scam/"
}

Record 2,695 of 5,441 in Law terminology (MLC-0107). Request the full dataset.