4(a)(7)

Section 4(a)(7) of the Securities Act is a relatively new non-exclusive safe harbor for private resales, which was adopted as part of the Fixing America’s Surface Transportation Act (the “FAST Act”), that resembles the conditions of the Section 4(a)(1½) exemption under the Securities Act. Securities that are resold pursuant to Section 4(a)(7) are “restricted securities.” Securities sold under Section 4(a)(7) are “covered securities” under Section 18 of the Securities Act, meaning that the securities are exempt from blue sky, or state, securities registration.