The Reform Act provides a safe harbor eliminating civil liability if a forward-looking statement is:

Question

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The Reform Act's safe harbor provisions for forward-looking statements require that they be identified as such and accompanied by meaningful cautionary statements. This helps protect companies from civil liability if the statement turns out to be incorrect, as long as the company made the statement in good faith and based on reasonable assumptions. Materiality is a factor in determining whether a statement is misleading, but it is not sufficient to provide safe harbor protection. The IPO or tender offer status is irrelevant to safe harbor protection.

The Reform Act Provides a Safe Harbor Eliminating Civil Liability