Forum Moderators: rogerd
I am trying to set up a forum for discussion about stock prices. I have not seen any after searching for related keywords so I wonder whether is there any legal restriction imposed by the authority such as the stock exchange prohibiting anyone from discussing and speculating about stock prices in a public forum.
If you know any famous stock forum (i.e. the webmasterworld version of stock forum), could you please let me know.
Many thanks.
Because of the sensitive and regulated nature of financial information, I'd be sure you have a strong TOS and disclaimer section in your forum. I'd guess that any financial forum would be a magnet for spammers and promoters trying to promote or attack individual securities, and I'd want to be certain it was clear that any statements by posters is their opinion alone. There's lots of conflict of interest potential. If I'm short on GOOG, I actually believe that their price will go down, and I'm going to communicate every speck of bad news (or even my unfounded opinion) to the forum; OTOH, if I'm long on MSFT, I'll tend to post bullishly about that stock. Either way, I'm posting what I believe, but my positions also mean that I benefit if other members believe me.
I'd read through what some of the older, bigger sites do - that may give you some ideas for your own legalese. And, as always, if you need legal advice, consult an attorney in your jurisdiction with appropriate expertise.
am trying to set up a forum for discussion about stock prices. I have not seen any after searching for related keywords
Good lord, you didn't look very hard!
However, this does point-out the sad state of search today. I just did a Google search for "stock forum" and none of the most popular sites are on the first page of results!
Ah, here's a better search:
(stock¦investment) (forum¦discussion)
Some of the bigger sites come up on the first page, and the very first result is a "link" site that lists what are supposedly the top sites. I find it reasonably accurate - I'd agree that the top 3 listings there are the top 3 sites.
I'd start by researching these top sites. Also, do news searches for the site names, along with "lawsuit", "litigation", etc.
If you are successful, you had best be prepared to deal with civil discovery on a regular basis. For the most part, they won't be suing you, but your users. Make sure you have a good system in place to be able to answer discovery, and get a good lawyer.
Another question:
Can the website/forum owner be held responsible for defamatory posting made by a forum member?
Can I be sued by the company whose stock prices was affected by rumours made by forum members or can I be sued by individual who relied on the information posted at my forum even though I put a disclaimer at my website? Is there any court ruling on this?
Thanks.
Can the website/forum owner be held responsible for defamatory posting made by a forum member?Can I be sued by the company whose stock prices was affected by rumours made by forum members or can I be sued by individual who relied on the information posted at my forum even though I put a disclaimer at my website?
That depends on the laws of your country, state, etc. Best to seek advice from an attorney.
Anybody can sue you, whether they have the right to do so or not. And it can make your life miserable.
I can tell you that the most popular stock forums ARE involved in legal proceedings on a regular basis. As I mentioned above, primarily in the role of providing discovery when somebody sues one of their users. However, they also have been sued themselves. Do the search I suggested.
There's some material on some past litigation on the EFF website, specifically regarding such sites.
As far as this question:
I wonder whether is there any legal restriction imposed by the authority such as the stock exchange prohibiting anyone from discussing and speculating about stock prices in a public forum.
In the U.S., I think, generally, no. Persons who hold certain SEC registrations, however, are require to disclose their name, address, and registration number in any communication that makes investment advice.
