Fed. Sec. L. Rep. P 95,887 Sundstrand Corporation v. Sun Chemical Corporation

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• holding that recklessness amounted to “an extreme departure from the standards of ordinary care . . . present[ing] a danger of misleading buyers or sellers that is either known to the defendant or is so obvious that the actor must have been aware of it”
• “no hint in Hochfelder that the Court intended a radical departure from” common law analogue of fraud which imposes liability for reckless behavior
• due diligence is an affirmative defense; plaintiff required only to act reasonably under all facts and circumstances
• “the ultimate goal of securities regulation is to achieve fundamental fairness in the marketplace [T]he focus is on controlling practices which smack of fraud.”
• obvious danger of misleading investor, coupled with conscious decision not to disclose information, establishes recklessness as a matter of law
• a person is reckless when he disregards a danger of misleading that is “so obvious that any reasonable man-would be legally bound as knowing”

Source: CourtListener parenthetical corpus (CC0).