Ronald J. Colombo, associate dean for academic affairs and professor of law, joined 25 other business and law school faculty on an amicus brief in the Supreme Court case Omnicare, Inc. v. Laborers District Council Construction Industry Pension Fund (No. 13-435).
At issue is whether, for purposes of issuer liability under Section 11 of the Securities Act of 1933, 15 U.S.C. §77k, a statement in a registration statement attempting to characterize a verifiable, present fact about the legal validity of contracts as a “belief” rather than a fact can shield an issuer from liability.
The amici argue that expressions of purported belief should be actionable under the securities laws if it can be proven that the speaker possesses information establishing the plain invalidity of the stated facts undergirding the opinion.