ARSD 20:08:03:16. Employee of the issuer exemption

An employee who represents an issuer and who effects transactions in the issuer's securities exempted by SDCL 47-31B-202(11) and 47-31B-202(14) is exempt from agent registration under SDCL 47-31B-402(a) if the employee does not receive a commission or other remuneration for making offers or sales of the issuers securities. For purposes of this rule, a managing member of a limited liability company or a general partner of the issuer, and officers and directors of the issuer, are deemed to be employees of the issuer.