Securities Fraud

In the United States, securities are traded on stock exchanges, such as the New York Stock Exchange and the American Stock Exchange, or on over-the-counter markets. The U.S. Securities and Exchange Commission is the primary federal agency that oversees the registration, listing and trading of public companies. Public companies are those companies who have stocks trading at stock exchanges. The Securities Exchange Act of 1934 is the primary federal legislation governing securities trading. Through the years, other legislation were enacted to provide additional protection to investors from fraudulent securities trading. Policies, rules and decisions by the SEC and court decisions also form part of securities fraud law.

The U.S. Crimes and Criminal Procedure Code classifies as a felony any violation or attempt to violate securities trading law and imposes accompanying penalties relating to securities trading fraud offense. The fine accompanying a securities fraud offense depends on the value of losses resulting from the fraudulent act, while incarceration is not more than 25 years. The filing of securities fraud cases has a statute of limitations of six years after the commission of the offense. In securities fraud, investors are induced to buy or sell stocks based on false information.

Securities fraud law is a complicated area of law because securities trading is a sophisticated industry ruled by financial experts. Many criticize the SEC as a reactionary body, rather than an enforcing agency, following events in the past two decades when many insider trading schemes almost brought the collapse of the American financial system. Because the SEC is a regulatory government body and securities traders are finance experts, many securities fraud schemes have been discovered in the past years. This is an indicator that sophisticated securities trader can find ways to circumvent regulatory policies and the acts may not be found until billions of dollars have been lost to unsuspecting investors.

One of the common securities trading fraud is the creation of dummy corporations. Investors are led to believe that there is an existing corporation, especially when the dummy company has a similar name to an existing company. Another common securities trading fraud is internet fraud, when false information is spread through social networks in order to inflate stock prices. Once the stock prices are inflated the fraudster disposes of the stock holdings before the unsophisticated investors realize the scheme.

Another common securities trading fraud is trading of securities by insiders, which include officers and directors. Trading of securities by insiders is not illegal per se. It is only when they trade the securities based on information they obtained as a result of their position in the company that the act becomes illegal. Insider trading is not easily detected, and, often, only revealed when the company has filed for bankruptcy or in the brink of financial collapse.

Securities trading fraud happens on a daily basis and goes undetected. For unsophisticated investors, it is best to employ the services of an expert securities fraud law attorney in order to shed light to a complicated web of regulations and policies. On the other side of the spectrum, when faced with charges of securities fraud, it a good idea to hire an expert securities trading law defense lawyer as the government is zealous in its pursuit against these fraudulent schemes.

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Catastrophic Injuries Law - Legal Information and Resources

Catastrophic Injuries

A catastrophic injury is legally defined as an injury, usually of thecentral nervous system, that leaves the individual unable to performany gainful work. A catastrophic injury is a result of an accident,which means the victim obtained the damages without warning. Asidefrom damages to the central nervous system, catastrophic injuries mayalso include accidental amputation, multiple bone fracture, eyeinjury, severe burns, and organ damage. Catastrophic injuries canlead to permanent and, often, life-long disabilities, and malfunctionof multiple organs, and can shorten the lifespan of the individual.Catastrophic injuries require expensive medication andrehabilitation, often for the rest of the individual's life, causinggreat financial and emotional strain to the family. The injurieslimit, if not, prevent the individual from using major bodilyfunctions and interacting with family and society, leading to loss ofemployment, resulting to low quality of life.

Because of the magnitude of the effect of catastrophic injuries,victims and their families are given the legal right to file claimsand seek compensation for the disabilities. Catastrophic injury law,in general, provides that a victim sustaining catastrophic injuriescan file a claim or sue the person or entity who acted negligently orintentionally resulting to the harm. The main premises, therefore, ofcatastrophic injury law is negligence and intent. The medicaltreatment, rehabilitation and care for the victim of catastrophicinjuries are steep, which means family members take to court theirclaims.

The determination of negligence or intent is crucial in establishinga catastrophic injury claim. Most victims, as a result of theirinjuries, may no longer be able to recall the events that happenedbefore, during, and after the accident, so it would take an ampleamount of time before the complaint can be structured. An expertcatastrophic injury law attorney can speed up the data and evidencegathering process. Moreover, an expert catastrophic injury lawattorney can also help the victim, or, in most cases, the victim'sfamily, seek the damages due to the victim by establishing whetherthe act was negligent or intentional as the difference between thetwo can elevate the claim from a tort claim to a criminal offense.

If it will be known that one party is responsible for thecatastrophic injuries, then it will be easy for the plaintiff toidentify the responsible party. However, many parties may beresponsible for the injuries and an expert catastrophic injury lawattorney will be prudent to name all possible responsible partiesprior to the start of the litigation as the statute of limitationsmay exclude other possible responsible parties, reducing the amountof damages the victim may receive. Other possible liable partieswould include the owner of the vehicle, if the injuries are caused bysuch, or the building, employer, and insurance companies. The lawdoes not leave possible responsible persons unprotected, and, becauseof the possibility of paying huge amounts, they would argue againsttheir liability. It is therefore imperative to hire an attorney whois not just equipped with in-depth knowledge of catastrophic injurylaw but also of litigation tactics.

The bulk of catastrophic injuries litigation involve around the determination of the value of the damages. While every injury isserious to some degree, some victims of catastrophic injuries canrecover with good medical attention. Other victims, on the otherhand, are permanently disabled and suffering. States in the UnitedStates have imposed limits on "non-economic" damages. A catastrophic injury lawyer can help recover the adequate compensationfor the damages that the victim or his family has suffered.


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