Series 79: Defenses And Exemptions From Liability

Defenses and Exemptions from Liability

A person other than the issuer can avoid liability under Section 11 if the person sustains its burden of proof on any of the following:

• • Before the effective date, the person resigned from her position or role as described in the registration statement and advised the SEC and issuer in writing of the resignation and disclaiming responsibility for the misleading portion of the registration statement.
• • If the misleading portion of the registration statement became effective without the person’s knowledge, upon learning of this fact the person “forthwith” advised the SEC and gave reasonable public notice that it had become effective without her knowledge.
• • The person undertook reasonable investigation, and as of the effective