Securities Investor Protection Corporation, Appellants v. BDO Seidman, L. L. P., Respondent

Summary

The New York Court of Appeals answered two certified questions, holding that the Securities Investor Protection Corporation could not maintain either a fraudulent or negligent misrepresentation claim against the accounting firm because it lacked the requisite reliance and privity. The Court affirmed the lower court's dismissal of SIPC's claims.