---
title: "Check an incremental purchase against the federal filing rule, not a creep exception"
url: "https://ailawframework.com/practice/mergers-and-acquisitions-private-equity/check-whether-a-purchase-fits-the-creep-exception/united-states"
type: "task_jurisdiction_version"
site: "AI Law Framework"
id: "A2-TM20261022-4-US"
practice_area: "Mergers & Acquisitions / Private Equity"
tier: "yellow"
lawyer_review: "required"
jurisdictions: ["US"]
last_reviewed: "2026-10-22"
---

# Check an incremental purchase against the federal filing rule, not a creep exception

> Using beneficial-ownership figures the lawyer supplies for the purchase date, record whether the person would be the beneficial owner of more than five percent of the class after the purchase.…

Canonical page: https://ailawframework.com/practice/mergers-and-acquisitions-private-equity/check-whether-a-purchase-fits-the-creep-exception/united-states  
Last reviewed: 2026-10-22

Site index for agents: https://ailawframework.com/llms.txt

## Key facts

| Fact | Value |
| --- | --- |
| Practice area | [Mergers & Acquisitions / Private Equity](https://ailawframework.com/practice/mergers-and-acquisitions-private-equity.md) |
| Human involvement | Yellow: Lawyer and AI draft together |
| How AI is used | Using beneficial-ownership figures the lawyer supplies for the purchase date, record whether the person would be the beneficial owner of more than five percent of the class after the purchase. Do not measure a six-month window or a three-percentage-point increase, and do not calculate beneficial ownership from the register. |
| What the lawyer must review | The lawyer decides whether Rule 13d-1(a) requires a Schedule 13D within five business days. The rule, as opened, does not contain a creep exception that permits a further purchase because the holder has remained above a stated percentage for six months. Exchange Act section 13(d) is the statute. The lawyer decides whether a Schedule 13G path in paragraph (b) is available instead. |
| Written for | United States |
| Applies to | [Check whether a purchase fits the creep exception](https://ailawframework.com/practice/mergers-and-acquisitions-private-equity/check-whether-a-purchase-fits-the-creep-exception.md) |

## Checking plan

- What the AI does: Using beneficial-ownership figures the lawyer supplies for the purchase date, record whether the person would be the beneficial owner of more than five percent of the class after the purchase. Do not measure a six-month window or a three-percentage-point increase, and do not calculate beneficial ownership from the register.
- Basis: Checked against the linked sources on 22 October 2026. Confirm the current instrument before reliance.

## Notes

- Do not clear a purchase for fitting an Australian creep band. The federal question on these pages is disclosure above five percent, not permission to creep.
- An amendment obligation, if the person is already above five percent, is in a later rule that was not the text used for this check. The lawyer reads that rule before a second purchase.

## Sources

- [17 C.F.R. § 240.13d-1, Filing of Schedules 13D and 13G](https://www.ecfr.gov/current/title-17/chapter-II/part-240/section-240.13d-1) (checked 2026-10-22)
- [15 U.S.C. § 78m, including section 13(d) beneficial-ownership reports](https://www.law.cornell.edu/uscode/text/15/78m) (checked 2026-10-22)

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*