Civil Liabilities
Chapters in this video
What this video covers
- Why the burden of proof is flipped onto the seller to prove lack of knowledge and due diligence, not on the buyer to prove fraud
- How to calculate rescission when the buyer still owns the security: purchase price plus interest minus income received
- When damages replace rescission, and how to compute them after a panic sale at a loss
- The statute of limitations: three years from the sale date or two years from discovery, whichever expires first
- How the 30-day silence trap works, and why ignoring a rescission offer kills the buyer's right to sue permanently
- Why waivers of rights under the USA are void, but pre-dispute arbitration clauses remain valid
- Who gets caught in the blast radius of control person liability, and who materially aids the conduct
Read the full lesson, free
This video's complete written lesson is free to read in the CertFuel app, no signup wall. When you're ready to drill the topic, the full Series 63 course adds adaptive practice questions and spaced-repetition flashcards.