Cohousing-L Mailing List: securities regulations

[Louise Antony (lantony]

I'm a member of the Eno Commons Cohousing Group in Durham, NC - 

we've run itno a problem and would like to know if anyone has any
relevant info or experience.  Our project manager, Sheri Rosenthal,
has been advised by a lawyer that if we incorporate and then offer
memberships to the public, that we will be, in effect, trading in
securities, and would be subject to regulation.  What this could mean
over the long run is that if someone who joined later became disaffected,
he or she might have grounds for a very costly and ugly lawsuit.  

Any insight would be appreciated.

Louise Antony

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Louise M. Antony                        "Extremism in the pursuit of
Dept. of Philosophy             liberty is no vice.  And...moderation
UNC/Chapel Hill                 in the pursuit of justice is no virtue."
C.B. # 3125, Caldwell Hall                      
Chapel Hill, NC 27599-3125              - Barry Goldwater, Acceptance
(919) 962 - 3318                                Speech, 1964 Pres. Nom.