In Sparling Plastic Industries, Inc v. Sparling, 229 Mich App 704, 709; 583 NW2d 232 (1998), a group of investors purchased all the outstanding stock in the plaintiff corporation. Neither the securities, nor the sale, were registered under the Uniform Securities Act and the purchaser later sued the seller to rescind the sale based on this nonregistration. Id. at 710. The Court ruled the seller had the burden of showing an exemption applied and the seller failed to meet this burden; therefore, the purchasers were entitled to rescind the transaction. Id. at 711-712.