A right of action under section 10(b)may expire before any plaintiffs discover they have been wronged or even before damages have been suffered at all.

Question

Quizplus · Accepted Answer

This is true because the statute of limitations for a section 10(b) claim is generally two or five years from the date of the violation or discovery of the violation, whichever is later. Therefore, if the violation occurred a long time ago and the plaintiff did not discover it until after the statute of limitations had expired, they may not be able to bring a claim. Additionally, if the violation did not result in any damages until after the statute of limitations had expired, the plaintiff may also be unable to bring a claim.

A Right of Action Under Section 10(b)may Expire Before Any