§ 53193 Investor Enforcement Terms

• •This law is about a deal where someone who puts money into a project can make sure the rules in the deal are followed.
• •The deal can say how and when the person who invested can step in if the rules aren't being followed.
• •It’s like a promise that if you lend money for something, you can check that the money is used the right way.

You lend money to a friend to start a lemonade stand, and you both agree they’ll only use the money for lemons, sugar, and cups.

If your friend starts using the money to buy video games instead, this law says your deal can include rules that let you stop them or ask for your money back.