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Rule 10b-5-The Equivalent Scope Of Liability Under Respondeat Superior And Section 20(A)-Imposing A Benefit Requirement On Apparent Authority, Carol M. Lynch

Vanderbilt Law Review

This Note demonstrates that the scope of employer liability for employees' rule 10b-5 violations is no broader under a proper application of respondeat superior than under section 20(a). This Note does not address the question whether respondeat superior applies under rule 10b-5, but rather how courts should apply it.

Part II examines the majority, minority, and Third Circuit decisions on employer liability. Part III discusses the traditional analysis under both respondeat superior and section 20(a) and compares the scope of liability under each one. Part III concludes that except for an employer's liability for acts that are within an employee's …