Private parties may sue violators of Section 10(b)and Rule 10b-5.

Name: Private parties may sue violators of Section 10(b)and Rule 10b-5.
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Private parties, such as investors, can bring lawsuits against individuals or entities that violate Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5, which prohibits fraudulent activity in connection with the sale or purchase of securities. These lawsuits are known as private actions or private rights of action.

Private Parties May Sue Violators of Section 10(b)and Rule 10b-5