Under the Securities Litigation Reform Act of 1995, Companies Have

question 207

True/False

Under the Securities Litigation Reform Act of 1995, companies have a safe harbor for forward-looking statements about the company made by executives.

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Definitions:

Concurrent Jurisdiction

Jurisdiction that exists when two different courts have the power to hear a case. For example, some cases can be heard in either a federal or a state court.

Federal

Federal refers to the national level of government, and the system of government that unites states or provinces within a country under a central authority.

State Court

A court that is established by the laws of a state within the United States, having jurisdiction over matters specific to that state.

Diversity of Citizenship

A basis for federal court jurisdiction when parties in a lawsuit are citizens of different states or a foreign country, allowing for disputes to be heard in federal court.