A plaintiff wishes to recover damages from the issuer for losses resulting from material misstatements in a securities registration statement.In order to be successful under Section 11 of the 1933 Act,one of the elements the plaintiff must prove is that the:

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Section 11 of the 1933 Securities Act is a radical liability section for three reasons.First,the purchaser need not show that he/she relied on the misstatement or omission in the registration statement.Second,the purchaser need not prove that he/she purchased the securities from the defendant.All he/she has to prove is that the defendant is in one of the classes of persons liable under Section 11.Third,the purchaser need not prove that the defendant negligently or intentionally misstated or omitted a material fact.

A Plaintiff Wishes to Recover Damages from the Issuer for Losses