The project manager should not ignore the new regulation, as it may affect the quality, scope, and compliance of the software. Nor should the project manager bypass the sponsor's authority and include the new requirement without approval. The project manager should also not release the software as is and start a new project, as this may create unnecessary rework, waste, and risk. The best option is to collect the requirements of the regulation and follow the change control process, which involves analyzing the impact of the change, obtaining approval from the sponsor and other stakeholders, and updating the project management plan and baselines accordingly. This way, the project manager can ensure that the software meets the customer's needs and expectations, as well as the legal and regulatory requirements. References: (Professional in Business Analysis Reference Materials source and documents)
* PMBOK Guide, 7th edition, section 4.6.1, page 113
* PMI Professional in Business Analysis (PMI-PBA) Guide, 2nd edition, section 5.3, page 87