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Short sellers can benefit from the fraud on the market presumption of reliance in Rule 10b-5 actions.
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Contributed in 2008 & last edited in 2008 by David Gold
Law
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Commerce, labor, particular activities & industries
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Securities
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Liability & enforcement
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Fraud claims
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SEC Rule 10b-5
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Substance
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Liability
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Primary
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Types of claims (by types of wrongs)
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Misstatement/omission claims (10b-5(b))
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Elements
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Individual elements
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Reliance
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No liability without reliance
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Presumptions of reliance
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Fraud on the market
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For the benefit of short sellers?
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Yes: Short sellers can benefit...

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