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of investors, may prescribe the form, content, time, and manner of delivery of any notice required under this paragraph.’’.

SEC. 929Y. STUDY ON EXTRATERRITORIAL PRIVATE RIGHTS OF
ACTION.
(a) IN GENERAL.—The Securities and Exchange Commission Public comment.
of the United States shall solicit public comment and thereafter
conduct a study to determine the extent to which private rights
of action under the antifraud provisions of the Securities and
Exchange Act of 1934 (15 U.S.C. 78u-4) should be extended to
cover—
(1) conduct within the United States that constitutes a
significant step in the furtherance of the violation, even if
the securities transaction occurs outside the United States and
involves only foreign investors; and
(2) conduct occurring outside the United States that has
a foreseeable substantial effect within the United States.
(b) CONTENTS.—The study shall consider and analyze, among
other things—
(1) the scope of such a private right of action, including
whether it should extend to all private actors or whether it
should be more limited to extend just to institutional investors
or otherwise;
(2) what implications such a private right of action would
have on international comity;
(3) the economic costs and benefits of extending a private
right of action for transnational securities frauds; and
(4) whether a narrower extraterritorial standard should
be adopted.
(c) REPORT.—A report of the study shall be submitted and
recommendations made to the Committee on Banking, Housing,
and Urban Affairs of the Senate and the Committee on Financial
Services of the House not later than 18 months after the date
of enactment of this Act.

SEC. 929Z. GAO STUDY ON SECURITIES LITIGATION.
(a) STUDY.—The Comptroller General of the United States shall
conduct a study on the impact of authorizing a private right of
action against any person who aids or abets another person in
violation of the securities laws. To the extent feasible, this study
shall include—
(1) a review of the role of secondary actors in companies
issuance of securities;
(2) the courts interpretation of the scope of liability for
secondary actors under Federal securities laws after January
14, 2008; and
(3) the types of lawsuits decided under the Private Securi-
ties Litigation Act of 1995.
(b) REPORT.—Not later than 1 year after the date of enactment
of this Act, the Comptroller General shall submit a report to Con-
gress on the findings of the study required under subsection (a).

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