Law360, New York (April 06, 2011, 1:43 PM ET) -- On March 22, a unanimous U.S. Supreme Court held that the materiality of information misrepresented or not disclosed cannot be “reduced to a bright-line rule.” Matrixx Initiatives v. Siracusano, No. 09-1156, slip op. at 2 (2010). Given an opportunity to revise the law, the court adhered to its ruling in Basic v. Levinson, 485 U.S. 224, 231-32 (1988).
Information is considered material for disclosure purposes when there is “a substantial likelihood that the disclosure of the omitted fact would have been viewed by the reasonable investor...
Is It Material? Depends On Who You Ask
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