The new rules on Form 8-K also require a report on a substantial amendment to a substantial final agreement. Notification of a substantial change may be necessary even if the underlying agreement has not been notified on Form 8-K. For example, the amendment itself may make the agreement significant or the underlying agreement may have been reached before August 23, 2004, when the new Form 8-K came into effect. The instructions to Article 1.01 of Form 8-K, point 601 of the S-K Regulation, to identify contracts that are considered to have not been properly concluded and which must be declared “not negligible or significant”, even if they are different from those normally associated with the company`s activities. Four such situations are defined in point 601 b) (10) (ii) (A) (D) of the S-K regulation: investors should always read all 8-K notifications filed by the companies in which they are invested. These reports are often of essential value to the company and often contain information that affects the share price. With the exception of the 15% of asset control in S-K Regulation 601 B (10) for asset transactions, exceeding one of these thresholds under SEC rules in other contexts does not necessarily mean that a contract is essential. However, these comparison measures may support the conclusion that a contract is not essential if the over-bill amount falls below those values. While these measures provide a useful context for an analysis of what constitutes a material contract, any reporting company must take into account the particular circumstances applicable to it in determining whether a contract is essential to it. It will, by its very nature, be a fact-rich study and must take into account factors that should not be purely numerical. The final agreement will be negotiated in more detail by the parties and the terms of the agreement will be part of those negotiations. An 8-K is a report on events or changes of unscheduled companies in a company that could be important to shareholders or sec (Sec).
The report, also known as 8K form, informs the public of events, including acquisitions, bankruptcy, directors` resignations or changes during the year. An 8-K is sometimes referred to as the “current report” because it provides a snapshot of a hardware event and must be submitted to the SEC within 4 business days of the event. (Compare this to a 10-K, which is often released months after the end of the fiscal year.) The new securities and exchange commission Form 8-K rules, which came into effect on August 23, 2004 (available in sec.gov/about/forms/form8-k.pdf), require that an updated report on Form 8-K be submitted within four business days of the entry (or termination) date of a substantial final contract that is not properly concluded.