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Insider Trading Questions Remain

December 08, 2016

Thomas Zaccaro, Nicolas Morgan & Jenifer Q. Doan

On Tuesday, the U.S. Supreme Court issued its highly anticipated insider trading decision in Salman v. United States, 2016 DJDAR 12012 (Dec. 6, 2016), the first time the Supreme Court has addressed insider trading in nearly two decades. While the court had the opportunity to clarify murky areas of existing judicial interpretation of insider trading liability in the tipping context, its decision was relatively narrow and simply confirmed its prior articulation of tipper liability in Dirks v. SEC, 463 U.S. 646 (1983). In doing so, the court left unanswered challenging questions about the scope of insider trading liability with which courts, prosecutors and defense attorneys will continue to grapple.

This article was originally published in the Daily Journal

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