Legal Opinion
Fed. Sec. L. Rep. P 95,347 Henry T. Sanders v. John Nuveen & Co., Inc.
Court of Appeals for the Seventh Circuit
Decided October 30, 1975No. 74-2047, 75-1260PublishedCited by 46 opinions
1Opinion of the Court
STEVENS, Circuit Judge.
The principal question presented is whether an underwriter of short term commercial paper, who acted in the mistaken but honest belief that financial statements prepared by certified public accountants correctly represented the condition of the issuer is liable to its customers for losses sustained as a result of the issuer’s default. The district court held the underwriter liable on the theory that it breached a duty to make reasonable inquiries that would have led to the discovery of the issuer’s fraud. We affirm.
The plaintiff class consists of 42 purchasers of short…
2Cases cited19 opinions
- American Pipe & Construction Co. v. UtahSupreme Court of the United States · 1974
- Affiliated Ute Citizens of Utah v. United StatesSupreme Court of the United States · 1972
- Fed. Sec. L. Rep. P 93,959 Frank Lanza, Jr. v. Drexel & Co., Theodore J. Kircher and Christie F. VitoloCourt of Appeals for the Second Circuit · 1973
- Blau v. LehmanSupreme Court of the United States · 1962
- Rodgers v. United StatesSupreme Court of the United States · 1947
14 more not listed; retrieve them via the Exa API.
3Cited by46 opinions
- Securities & Exchange Commission v. TamboneCourt of Appeals for the First Circuit · 2010
- Jolly v. Eli Lilly & Co.California Supreme Court · 1988
- Securities Industry Ass'n v. Board of Governors of the Federal Reserve SystemSupreme Court of the United States · 1984
- Fed. Sec. L. Rep. P 96,030 Henry T. Sanders v. John Nuveen & Co., Inc.Court of Appeals for the Seventh Circuit · 1977
- Fed. Sec. L. Rep. P 93,906 Herbert J. Rowe, Cross-Appellants v. Maremont Corporation, Cross-AppelleeCourt of Appeals for the Seventh Circuit · 1988
41 more not listed; retrieve them via the Exa API.