Unformatted text preview: for innocent parties in the claim to settle unwarranted lawsuits. 4. The Reform Act limits the amount of punitive damages that can be claimed by eliminating securities fraud as a basis for bringing action under the Racketeer Influenced and Corrupt Organization Act. The limit on punitive damages will reduce the cost of damages to auditors. 5. The Reform act puts limits on third party rights to sue by limiting the number of times that a plaintiff can be the lead person. The plaintiff can be the lead no more that in five class action lawsuits in any three year period. 6. The Reform Act changed the way that the courts appoint lead plaintiffs, and changed the limits on the number of people that may sue auditors....
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- Fall '10
- Accounting, Class action, Reform Act