Section 14(e) Requires Only Showing Of Negligence, Shareholders Argue

Mealey's (March 26, 2019, 2:20 PM EDT) -- WASHINGTON, D.C. — The Ninth Circuit U.S. Court of Appeals properly held that Section 14(e) of the Securities Exchange Act of 1934 requires only a showing of negligence and not scienter, and a holding otherwise would undermine the objective of Congress when it enacted the Williams Act of 1968, respondents argue in a March 21 brief filed in the U.S. Supreme Court (Emulex Corp., et al. v. Gary Varjabedian, et al., No. 18-459, U.S. Sup.)....