The Securities Act of 1933 deals with the initial registration of the issuance of new securities with the SEC and it requires plaintiffs to prove fraud or gross negligence.

Question

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The Securities Act of 1933 does require registration of new securities with the SEC, but it also imposes strict liability for any misstatements or omissions in the registration statement. Plaintiffs do not need to prove fraud or negligence in order to bring a claim under the Securities Act of 1933.

The Securities Act of 1933 Deals with the Initial Registration