| Claim | General deadline | Outer limit |
|---|---|---|
| Sale of unregistered securities (Securities Act §12(a)(1)) | 1 year from the violation | 3 years from first offering |
| Misstatements in a prospectus or oral communication (§12(a)(2)) | 1 year from discovery | 3 years from sale |
| Securities fraud (Exchange Act §10(b) / Rule 10b-5) | 2 years from discovery of the facts | 5 years from the violation |
| FINRA arbitration eligibility (Rule 12206) | 6 years from the event | Other legal limits may be shorter |
| State securities ("blue sky") laws | Varies by state (often 2–3 years from discovery) | Varies (often 5 years) |
| Common-law fraud | Varies by state; New York: 6 years, or 2 years from discovery if later | Varies |
What starts the clock
Many deadlines run from when you discovered, or reasonably should have discovered, the facts of the fraud: for example, when an SEC complaint against the seller became public or when you learned of the markup. Repose periods, however, run from the sale or violation regardless of when you found out. If an SEC action involving your investment was announced, the clock may already be running.
How long do I have to file an investment fraud claim?
It depends on the claim, but act within months, not years. If the sale was unregistered, the one-year federal rescission deadline may already be close.
Investment scam victim rights
- The right to report fraud to the SEC, FINRA, and state regulators at no cost
- The right to pursue a claim for damages or rescission in the proper forum
- The right to file claims in receiverships, bankruptcies, and SEC distributions
- The right to request your account records from the firm that sold the investment
- The right to choose your own attorney and to have fee terms in writing