Section 260.140.113.1 - Fees, Compensation and Expenses to be Reasonable(a) The total amount of consideration of all kinds which may be paid directly or indirectly to all persons shall be reasonable.(b) Except for the promotional interests and program management fees permitted by Sections 260.140.113.5 and 260.140.113.6 hereof, and subject to all other prohibitions and requirements contained in these Rules, consideration may only be paid for reasonable and necessary goods, property or services.(c) The Prospectus must fully disclose and itemize all consideration which may be received from the program directly or indirectly by the sponsor, its affiliates and underwriters, what the consideration is for, and how and when it will be paid. This information shall be set forth in one location in tabular form.Cal. Code Regs. Tit. 10, § 260.140.113.1
1. New section filed 5-18-92; operative 6-17-92 (Register 92, No. 22). Note: Authority cited: Section 25610, Corporations Code. Reference: Section 25140, Corporations Code.
1. New section filed 5-18-92; operative 6-17-92 (Register 92, No. 22).