The securities law imposes civil liability for leaving important information out of securities registration material or reports.

Question

Quizplus · Accepted Answer

The securities law does impose civil liability for leaving important information out of securities registration material or reports under the Securities Act of 1933 and the Securities Exchange Act of 1934. This is known as the disclosure requirement, and it is designed to protect investors by ensuring that they have access to all material information that could affect their investment decisions. Failure to disclose such information can result in legal action and civil liability.

The Securities Law Imposes Civil Liability for Leaving Important Information