The Reform Act's safe harbor under the 1933 Act eliminates civil liability based on an untrue statement or omission if a forward-looking statement is:
A) material.
B) made without actual knowledge that it was false or misleading.
C) unidentified as a forward-looking statement
D) based on an expert's opinion.

Question

Quizplus · Accepted Answer

The safe harbor provision under the Reform Act protects against civil liability for forward-looking statements if they were made without actual knowledge that the statement was false or misleading. This encourages companies to provide future projections and plans without the fear of litigation, provided they genuinely believe in their statements at the time they are made.

The Reform Act's Safe Harbor Under the 1933 Act Eliminates