The document is a notice from the Securities and Exchange Commission (SEC) regarding a proposed amendment to the National Market System Plan governing the Consolidated Audit Trail (CAT). This amendment aims to introduce limitation of liability provisions, which would limit any claims against the CAT LLC to the lesser of $500 or the total fees paid by CAT reporters in the case of a data breach. This move is intended to align with industry standards and prevent potentially high costs and litigation that do not contribute to improved data security. The document invites public comments on whether this proposed amendment is in line with the Exchange Act and appropriately manages the cyber risks involved in maintaining a large, sensitive database like the CAT.
Simple Explanation
The big boss of stock trading rules wants to change a rule to stop people from asking for lots of money if a bunch of secret numbers get stolen, making it so they can only get a little money back. They want to make sure everyone talks about this idea first to make sure it's safe and fair.