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HARNETT v. RYAN HOMES, INC.

Nos. 73-1714, 73-1790.

496 F.2d 832 (1974)

William J. HARNETT, Appellant in No. 73-1790, v. RYAN HOMES, INC., a corporation and Edward M. Ryan. Appeal of Edward M. RYAN, in No. 73-1714.

United States Court of Appeals, Third Circuit.

Decided April 29, 1974.

Attorney(s) appearing for the Case

J. N. Poffinberger, Jr., Michael C. McLean, David L. McClenahan, Robert B. Sommer, Kirkpatrick, Lockhart, Johnson & Hutchison, Pittsburgh, Pa., for William J. Harnett.

Leonard Boreman, Harold Gondelman, Baskin, Boreman, Wilner, Sachs, Gondelman & Craig, Pittsburgh, Pa., for Ryan Homes, Inc. and Edward M. Ryan.

Before VAN DUSEN and ADAMS, Circuit Judges, and HUYETT, District Judge.

OPINION OF THE COURT

ADAMS, Circuit Judge.

The principle issue presented by this case relates to the operation of the inveterate legal concepts of materiality and reliance in the context of a suit under Section 10(b) of the Securities and Exchange Act of 19341 and Rule 10b-5 of the Securities and Exchange Commission.2

This action was brought by William...

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