SEC Can Get Attorney Communications That Weren’t Legal Advice

The SEC can force an investment adviser to turn over compliance communications because they aren’t protected work product, a federal judge said June 10.

The U.S. Securities and Exchange Commission accused two former Brite Advisors USA Inc. employees of misrepresenting an investment option’s tax implications. Brite can’t withhold emails to a group of external attorneys because there wasn’t an attorney-client relationship, the U.S. District Court for the Southern District of New York said.

Benjamin Alderson and Bradley Hamilton worked for Brite, then known as deVere USA Inc., when they allegedly misled clients. According to the court, the pair planned ...