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Privity of Contract
A legal principle stating that contracts are private agreements between the parties who have entered into them, and typically, only those parties have the right to enforce or challenge the contract in court.
Rule 505
Part of Regulation D of the SEC, which provided guidelines for limited offerings and sales of securities without full registration, though it is now superseded by changes in securities laws.
Unaccredited Purchasers
Individuals or entities that are not officially recognized or qualified investors, lacking certain financial criteria or certifications.
Accredited Purchasers
A person or entity recognized as capable and financially stable enough to engage in certain kinds of investment transactions.
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