Law360, New York (July 15, 2011, 11:52 AM ET) -- The U.S. Supreme Court recently held in Janus Capital Group Inc. et al. v. First Derivative Traders[1] that the “maker” of a statement under Securities Exchange Act Rule 10(b) and Rule 10b-5 is limited to the person or entity with ultimate authority over the statement, including its content and mode of communication.[2]
The opinion has been widely discussed and criticized for declining to extend liability to a mutual fund’s investment adviser despite its close relationship to the mutual fund and its involvement in preparing the prospectuses...
Did SCOTUS Breathe Life Into Section 20(b)?
To view the full article, take a free trial now.
