A regulatory infraction occurs when an individual or organization fails to comply with established laws, rules, or regulations set by governing bodies. These regulations can pertain to various sectors, including finance, healthcare, and environmental protection. Violations can range from minor issues to serious offenses, depending on the severity of the breach.
Consequences of a regulatory infraction may include fines, penalties, or legal action taken by authorities. Organizations like the Securities and Exchange Commission or the Environmental Protection Agency are responsible for enforcing compliance and addressing infractions to ensure public safety and fair practices.