Supreme Court Resolves Circuit Split and Holds ‘Pure Omissions’ Outside Reach of Section 10(b) Liability
By EsqSocial Corporation 23/04/24
On April 12, a unanimous Supreme Court held in Macquarie Infrastructure Corp. v. Moab Partners, L.P. that material omissions are actionable under Section 10(b) of the Exchange Act and its enabling SEC Rule 10b-5 only if the omission renders an affirmative statement misleading. The decision resolved a divide among appellate courts and clarified the extent to which an alleged Item 303 violation can serve as a predicate for Section 10(b) liability....
By: Kramer Levin Naftalis & Frankel LLP