Which of the Following Is True of Section 11 of the Securities

question 84

Multiple Choice

Which of the following is true of Section 11 of the Securities Act of 1933?

• A) It permits injured private parties to bring criminal action against fraudulent registration statements filed by issuers.
• B) It imposes liability on those who are negligent in not discovering the fraud.
• C) It allows an issuer to assert a due diligence defense against the imposition of Section 11 liability.
• D) It cannot be imposed on cases involving negligent omission of a material fact in a registration statement.

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Definitions:

Scribble

The act of writing or drawing carelessly or hurriedly, often without regard for readability or aesthetics.

Jump

The act of propelling oneself off the ground through the muscular action of the legs and feet.

Spatial Relationships

The understanding of how objects or shapes are positioned in space relative to each other.

Overall Development

The comprehensive progression of an individual's physical, emotional, intellectual, and social growth and changes over time.