Atkins Calls for Leaner Corporate Risk Disclosures, Says Filings Have Become Litigation Shields

Ryan Adams was quoted in the Law.com article, "Atkins Calls for Leaner Corporate Risk Disclosures, Says Filings Have Become Litigation Shields." The SEC Chair Paul Atkins suggested that companies should aim to reduce the amount of risk factors they list on public disclosures, as the disclosures have become a hedge against litigation risk. The SEC chair also mentioned that the SEC should consider offering a safe harbor from liability.

Ryan noted that Atkins’ idea to provide a safe harbor is a novel approach to solve a problem for corporate filers.

Ryan added, “This has been a pet peeve of mine as long as I've been practicing law,” Adams said. “It is 100% true that risk factor disclosure in the majority of 10-Ks and offering documents is far too long.”

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