For a plaintiff to recover damages from an accountant under Section 10(b)of the Securities Exchange Act of 1934 and SEC Rule 10b-5,ordinary negligence is not enough.

Question

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To recover damages from an accountant under Section 10(b) of the Securities Exchange Act of 1934 and SEC Rule 10b-5, the plaintiff must prove more than ordinary negligence. They must show that the accountant acted with scienter, which means that they acted with intent to deceive, manipulate, or defraud.

For a Plaintiff to Recover Damages from an Accountant Under