Simple English definitions for legal terms
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A comfort opinion is a written statement by an attorney that reassures parties involved in a securities registration statement that there are no material misrepresentations or omissions that would violate securities laws. The attorney usually participates in the preparation of the registration statement and confers with the securities issuer's representatives, underwriters, and public accountants before writing the opinion. The comfort opinion is not part of the statement and is usually not included.
For example, if a company is preparing to issue securities, they may seek a comfort opinion from their attorney to ensure that the registration statement complies with securities laws and that there are no material misrepresentations or omissions. The attorney would review the statement and provide a written opinion that there are no issues that would violate securities laws.