a$.$ A federal securities statute covering registration statements for securities to be sold to the public.

A method of allocating damages to each group that is liable according to that group's pro$-$rata share of any damages

b$.$ recovered by the plaintiff. For example, if the plaintiff was awarded a total of $$500,000$ and the CPAs were found to bear $30$ percent of the responsibility for the damages, the CPAs would be assessed $$150,000.$

Securities Act of $1933$

Damage to another is directly attributable to a wrongdoer's act. This issue may be raised as a defense in litigation$-$that is$,$ the defense may argue that some other factor caused the loss.

d$.$ Failure of one or both parties to a contract to perform in accordance with the contract's provisions.

Breach of contract

Intent to deceive, manipulate, or defraud. This concept is used in the $1934$ Securities Exchange Act to establish auditor liability.

Negligence

c$.$ the defense may argue that some other factor caused the loss. This issue may be raised as a defense in litigation$-$that is$,$ Failure of one or both parties to a contract to perform in accordance with the contract's provisions.

Misrepresentation by a person of a material fact, known by that person to be untrue or made with reckless indifference as to whether the fact is true, with intent to deceive and with the result that another party is injured.

Performing duties with such recklessness that persons believing the duties to have been completed carefully are being misled. The person performing the duties does not have knowledge of misrepresentations within the financial statements.

Unwritten law that has developed through court decisions; it represents judicial interpretation of a society's concept of fairness.

Violation of a legal duty to exercise a degree of care that an ordinarily prudent person would exercise under similar circumstances. Solutions: common law, constructive fraud, defendat, joint and several liabilities, negligence, ponzi scheme, proportionate liability, scienter, sec act exchange $1934,$ statutory law.