In this task, you will be shown a prompt from a judicial decision and multiple holding statements derived from citations following text in a legal decision.  Holdings represent the governing legal rule when the law is applied to a particular set of facts. There are five answer choices for each citing text. The correct answer is the holding statement that corresponds to the citing text. The four incorrect answers are other holding statements. You should find the correct option. There is a <HOLDING> token in the position of the citing text prompt where the holding statement was extracted.
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Question: (1993). This privilege has been given an “expansive reach” by California courts, as recognized by the California Supreme Court. See Rubin, 4 Cal.4th at 1194, 17 Cal.Rptr.2d 828, 847 P.2d 1044. This privilege affords absolute immunity against tort liability arising out of such a communication, regardless of attempts by the “plaintiff’ to “plead around” this “absolute barrier.” See id. at 1201-02, 17 Cal.Rptr.2d 828, 847 P.2d 1044. Thus, the immunity applies regardless of the particular label given to the cause of action (e.g., unfair competition). Section 47(b) protects participants in judicial proceedings from derivative tort actions based on communications in or regarding the judicial proceeding. See Dove Audio, Inc. v. Rosenfeld, 47 Cal.App.4th 777, 781-83, 54 Cal.Rptr.2d 830 (1996) (<HOLDING>). A “communication[ ] preparatory to or in 
 Holding statements: (A) holding that letter to possible coclaimants seeking support for filing of suit was covered by the privilege (B) recognizing privilege (C) holding that voluntary testimony by spouse is not covered by husbandwife privilege (D) holding that documents reflecting the department of educations review of a universitys compliance with title iv were covered by the privilege and rejecting the argument that a specific policy judgment is necessary for the privilege to apply because the privilege servesto protect the processes by which governmental decisions as well as policies are formulated (E) holding that the initial disclosure of a crime to one spouses without more is covered by the marital communications privilege

Answer: (A)


Question: (3) the de fendant’s culpability in the fraud perpetrated by the controlled person. See Securities & Exchange Com’n v. First Jersey Securities, Inc., 101 F.3d 1450, 1472 (2d Cir.1996). First, as the Court has found, plaintiffs have failed properly to plead a violation of the 1934 Act. Second, as we also have noted, plaintiffs have failed properly to allege scienter and/or culpability on the part of “Merrill Lynch.” Even had we found a properly pled violation of the 1934 Act, we would not automatically impute this violation to “Merrill Lynch” as a controlling entity. See Baesa, 969 F.Supp. at 242 (“[T]he law in this circuit is clear that a subsidiary’s fraud cannot be automatically imputed to its corporate parent.”). See also Chill v. General Elec. Co., 101 F.3d 263, 270 (2d Cir.1996) (<HOLDING>). Novak, 997 F.Supp. at 435. Finally the Court 
 Holding statements: (A) holding that a parent must exercise some control over the subsidiarys activities which does not require that the subsidiary be controlled to an ultimate degree by its parent  although something more than mere passive investment by the parent is required the parent must have and exercise control and direction  over the affairs of its subsidiary in order for venue to be proper (B) holding that district court has the power to decide what portion of subsidiarys income should be reallocated to its parent (C) holding that a parent company would at the very least have to have been deliberately blind to its subsidiarys fraud in order to have the requisite scienter (D) holding that even in separate trial other crimes evidence would not have been admissible and identification testimony would have been admissible (E) holding that a subsidiarys contacts can be imputed for purposes of service of process where a parent uses the subsidiary to do what it otherwise would have done itself 

Answer: (C)


Question: (1993). This privilege has been given an “expansive reach” by California courts, as recognized by the California Supreme Court. See Rubin, 4 Cal.4th at 1194, 17 Cal.Rptr.2d 828, 847 P.2d 1044. This privilege affords absolute immunity against tort liability arising out of such a communication, regardless of attempts by the “plaintiff’ to “plead around” this “absolute barrier.” See id. at 1201-02, 17 Cal.Rptr.2d 828, 847 P.2d 1044. Thus, the immunity applies regardless of the particular label given to the cause of action (e.g., unfair competition). Section 47(b) protects participants in judicial proceedings from derivative tort actions based on communications in or regarding the judicial proceeding. See Dove Audio, Inc. v. Rosenfeld, 47 Cal.App.4th 777, 781-83, 54 Cal.Rptr.2d 830 (1996) (<HOLDING>). A “communication[ ] preparatory to or in 
 Holding statements: (A) holding that letter to possible coclaimants seeking support for filing of suit was covered by the privilege (B) recognizing privilege (C) holding that voluntary testimony by spouse is not covered by husbandwife privilege (D) holding that documents reflecting the department of educations review of a universitys compliance with title iv were covered by the privilege and rejecting the argument that a specific policy judgment is necessary for the privilege to apply because the privilege servesto protect the processes by which governmental decisions as well as policies are formulated (E) holding that the initial disclosure of a crime to one spouses without more is covered by the marital communications privilege

Answer:
(A)