Civil liability under Section 11 is imposed on those who intentionally defraud investors.

Question

Quizplus · Accepted Answer

Section 11 of the Securities Act of 1933 imposes civil liability on any person who intentionally or recklessly makes a material misstatement or omission in the registration statement filed with the Securities and Exchange Commission (SEC), in order to defraud investors. Therefore, civil liability is imposed on those who intentionally defraud investors.

Civil Liability Under Section 11 Is Imposed on Those Who