Jones,CPA,is in court defending himself against a lawsuit filed under the 1933 Securities Act.The charges have been filed by purchasers of securities covered under that act.If the purchasers prove their required elements,in general,Jones will have to prove that:

Question

Quizplus · Accepted Answer

Under the 1933 Securities Act, if purchasers of securities covered under that act prove their required elements, the burden of proof shifts to the defendant CPA to prove that they performed the audit with due diligence. Therefore, option C is the correct answer. Option A is incorrect as gross negligence is not sufficient defense under this act. Option B is not a good choice as good faith is not an adequate defense under the 1933 Securities Act. Option D is incorrect because the burden of proof is on the defendant, not the plaintiffs.

Jones,CPA,is in Court Defending Himself Against a Lawsuit Filed Under