Additionally, SDNY declined to interpret Rule 10b-16(b) as requiring UBS to provide advance notice to Willow Creek before it changed its margin rules (in apparent contradistinction to its credit terms and conditions ).
Rule 2111(b) provides an exemption to customer-specific suitability regarding institutional investors if the conditions delineated in that paragraph are satisfied.
The pre-eminent statutory authority for civil and criminal liability exposure for failure to disclose in securities transactions is Section 10(b) of the 1934 Act and its regulatory offspring Rule 10b-5.