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The requirement of the Private Securities Litigation Reform Act of 1995 that, as to each allegation of a misstatement or omission that is based on information and belief, the plaintiff must state "with particularity all facts on which that belief is formed" means that the plaintiff must plead facts sufficient to allow a reasonable person to conclude that the misstatement or omission element of the Rule 10b-5 claim is satisfied.

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Contributed in 2008 by David Gold
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It has not been decided whether a showing that the defendant acted recklessly can satisfy the scienter element of a Rule 10b-5 claim.
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In a Rule 10b-5 action, general cautionary language does not render omission of specific adverse historical facts immaterial.
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Statements about the future do not become actionable misstatements under Rule 10b-5 merely because they later turned out to have been incorrect.