Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Based on the lessons from the Affiliated Ute Citizens case, why have courts made the reliance element of a Section 10(b) claim so easy to

Based on the lessons from theAffiliated UteCitizens case, why have courts made the reliance element of a Section 10(b) claim so easy to satisfy?

Satisfying the reliance requirement in a Section 10(b) or Rule 10b-5 claim differs depending on whether the securities transaction involved individuals engaged in a personal transaction or actors using an impersonal securities exchange to execute sales and purchases of securities. . In Affiliated Ute [narrator: pronounce "yut," like the "Ut" in "Utah"] Citizens v. United States, the Supreme Court concluded that in face-to-face transactions, a person may successfully establish reliance by demonstrating that her counterparty omitted material facts, in that a reasonable investor would have considered those facts important in making the decision to purchase or sell the security.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Criminal Law Cases And Materials

Authors: Joshua Dressler, Stephen Garvey

9th Edition

1647087708, 978-1647087708

More Books

Students also viewed these Law questions

Question

What are the advantages to using object-oriented techniques?

Answered: 1 week ago