A defense to a civil action brought under Section 10(b)and Rule 10b-5 of the 1934 Act would be:

Question

Quizplus · Accepted Answer

A defense under the 1934 Act would not be based on the statute of frauds as this relates to contracts and not securities law. Privity of contract is also not a defense as Section 10(b) and Rule 10b-5 allow for plaintiffs who are not in privity to bring actions. However, lack of intent or recklessness in making false statements or omissions would be a valid defense to a Section 10(b) and Rule 10b-5 claim.

A Defense to a Civil Action Brought Under Section 10(b)and