An investor who has purchased an unregistered security can ________.

Question

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An investor who has purchased an unregistered security typically has the right to both rescind the purchase and recover damages. This is because selling unregistered securities is generally a violation of securities laws, unless the security or transaction qualifies for an exemption. The ability to rescind the purchase and recover damages is intended to protect investors from potential fraud or violations of securities laws.

An Investor Who Has Purchased an Unregistered Security Can ________