Taken from The AKC Website:
Limited Registration means that the dog is registered but no litters produced by that dog are eligible for registration.
Chapter 3, Section 4A of the AKC's Rules Applying to Registration and Discipline states the following: "Limited Registration may be requested for a dog when application for individual registration of the dog is submitted, provided the application, together with a request for such limitation, is filed by the owner(s) of the litter at birth.
No offspring of a dog for which Limited Registration has been granted is eligible for registration. Each registration certificate for such dog shall carry notice of the limitation, and the limitation shall continue, regardless of any change of ownership, unless and until the owner(s) of the litter at birth shall apply to AKC for removal of the limitation."
A dog registered with an AKC Limited Registration shall be ineligible to be entered in a breed competition in a licensed or member dog show. It is eligible, however, to be entered in any other licensed or member event. These events include: Obedience, Tracking, Field Trials, Hunting Tests, Herding, Lure Coursing, Agility and Earthdog.
Limited Registration is determined by the litter owner(s). The litter owner(s) check the Limited box on the AKC Dog Registration Application.
Limited Registration certificates are white with an orange border; the Full Registration certificate is white with a purple border.
Limited Registration can be changed to Full Registration only by the litter owner(s). The litter owner(s) will need to obtain the Application to Revoke Limited Status. That form will then need to be completed and sent to our Raleigh address with the processing fee. After processing, we will send a Full Registration certificate to the dog's owner.
Limited Registration helps breeders protect their breeding programs. If breeders do not want puppies used for breeding purposes, they can request the Limited Registration option for those puppies.
The American Kennel Club does not license or endorse anyone engaged in the commerce of selling purebred dogs and, therefore, has no control over the business practices of those involved in such transactions. Membership in the American Kennel Club is comprised of independent dog clubs located throughout the United States. No individual persons are members of the AKC.
The AKC will not become involved in disputes concerning 'full' or 'limited' registration of a dog. These disputes must be resolved by the parties involved in the sale of the dog. The only exception to this is in cases where there is a contract, signed by all parties involved and made at the time of the dog sale, that stipulates the registration status. In those cases, AKC will initiate an inquiry on the matter.