20. To qualify a "class action" under Federal Rule of Civil Procedure 23, a plaintiffs must prove - a. All claimants belong to the same social class b. All class members consent to the representation c. Common questions of law or fact predominate d. All of the above 21. "Forward-looking Statements" in a securities filing - a. Are prohibited b. May be protected from liability if within a "safe harbor" c. Must be continually updated by subsequent SEC flings d. Are permitted only if correct 22. Adoption of a corporate compliance policy - is one element of an effective compliante 6. A "private cause of action" is - a. A right to bring a lawsuit b. A lawsuit that does not qualify as a "class action" c. An SEC enforcement proceeding d. An unregistered security 17. The "misappropriation" theory refers to - a. Unauthorized quotations in a securities filing b. Using confidential information in violation of a duty owed to the c. Stealing a business opportunity d. The "disclose or refrain from trading" rule 18. To establish a violation of Rule 10b5, the plaintiff must prove - a. That the defendant sold securities b. That the defendant deceived the plaintiff c. That the defendant was familiar with Rule 10b5 d. That the defendant purchased securities 19. "Classic" insider trading" - The Wiliams Act - a. Was enacted in 1968 b. Governs tender offers c. Requires fling a form 130 d. All of the above 14. The case of Kardon v. National Gypsum held that - a. Only purchasers of securities may sue under Rule 10b5 (b.) Private sellers of securities may sue purchasers for fraud under Rule 1005 c. Insider trading violates Rule 10b5 d. A purchaser must have read the prospectus to sue under Rule 1065 15. Profits from period - a. Belons to the Company b. May be recovered by a sharcholder derivative suil c. Are called short-swing profits" 20. To qualify a "class action" under Federal Rule of Civil Procedure 23, a plaintiffs must prove - a. All claimants belong to the same social class b. All class members consent to the representation c. Common questions of law or fact predominate d. All of the above 21. "Forward-looking Statements" in a securities filing - a. Are prohibited b. May be protected from liability if within a "safe harbor" c. Must be continually updated by subsequent SEC flings d. Are permitted only if correct 22. Adoption of a corporate compliance policy - is one element of an effective compliante 6. A "private cause of action" is - a. A right to bring a lawsuit b. A lawsuit that does not qualify as a "class action" c. An SEC enforcement proceeding d. An unregistered security 17. The "misappropriation" theory refers to - a. Unauthorized quotations in a securities filing b. Using confidential information in violation of a duty owed to the c. Stealing a business opportunity d. The "disclose or refrain from trading" rule 18. To establish a violation of Rule 10b5, the plaintiff must prove - a. That the defendant sold securities b. That the defendant deceived the plaintiff c. That the defendant was familiar with Rule 10b5 d. That the defendant purchased securities 19. "Classic" insider trading" - The Wiliams Act - a. Was enacted in 1968 b. Governs tender offers c. Requires fling a form 130 d. All of the above 14. The case of Kardon v. National Gypsum held that - a. Only purchasers of securities may sue under Rule 10b5 (b.) Private sellers of securities may sue purchasers for fraud under Rule 1005 c. Insider trading violates Rule 10b5 d. A purchaser must have read the prospectus to sue under Rule 1065 15. Profits from period - a. Belons to the Company b. May be recovered by a sharcholder derivative suil c. Are called short-swing profits
