BESPEAKS-CAUTION DOCTRINE

bespeaks-caution doctrine.Securities. The principle that if soft information in a prospectus is accompanied by cautionary language that adequately warns investors that actual results or events may affect performance, then the soft information may not be materially misleading to investors. • Soft information includes forecasts, estimates, opinions, and projections about future performance.

The doctrine was codified in the Private Securities Litigation Reform Act of 1995. [Blacks Law 8th]