On December 15, 2014, the North American Securities Administrators Association (NASAA) announced the launch of its Electronic Filing Depository (EFD) system. The EFD system is a multi-state electronic filing system that allows:

Before the EFD system was introduced, issuers had to submit Form D blue sky notice filings to state regulators in hard copy, together with the related filing fee.

The NASAA has provided an EFD filer training video on how to use the new system. In addition to the filing fees required by each state, an issuer must pay a one-time $150 fee for each offering for which it makes filings through the EFD. The fee covers the issuer's initial Form D filing and all amendment and renewal filings made through the EFD for that offering.

According to a list maintained on the EFD website, as of December 16, 2014, 37 states and the District of Columbia, Puerto Rico and the US Virgin Islands were participating in the EFD system. While many state securities regulators participating in the EFD will permit issuers to continue filing in hard copy if they choose, some participating states intend to require issuers to file electronically through the EFD. To confirm whether filing through the EFD is voluntary or mandatory for a specific state, contact the relevant state regulator using the contact information available on the EFD website.

Because the EFD system currently does not permit an issuer to upload its own documents or provide information outside the parameters of Form D, if any information or document other than the Form D is required by a state's regulators (for example, a consent to service of process separate from the universal consent included in Form D), it must be submitted to state regulators separately.

While the EFD is initially limited to Form D filings for Rule 506 offerings, the NASAA expects that the system will be expanded to accept other state securities registration and notice filing materials.

For more on the Form D filing requirements for a Rule 506 offering under Regulation D, see Practice Note, Form D: Notice of Exempt Offering of Securities.