PLI: Supreme Court Weighs in on Insider Trading: Salman v. United States

March 20, 2017
01:00 PM - 02:00 PM ET
12:00 PM - 01:00 PM CT
10:00 AM - 11:00 AM PT

Litigation partners David Miller and Ken Schacter will present a one-hour PLI briefing titled “Supreme Court Weighs in on Insider Trading:  Salman v. United States,” along with Alexandra A.E. Shapiro, from Shapiro Arato LLP, who represented Mr. Salman before the Supreme Court.

On December 6, 2016, for the first time in nearly 20 years, the Supreme Court weighed in on insider trading law.  In Salman, the Court put to bed confusion generated by the Second Circuit’s decision in United States v. Newman as to what constitutes a sufficient “personal benefit” received by a corporate insider for that insider (and subsequent tippees) to be liable for disclosing material nonpublic information.  Salman resolved a split between the Second and Ninth Circuits by following the Supreme Court’s 1983 decision in Dirks v. SEC and holding that an insider’s gift of confidential information to a trading relative is a sufficient personal benefit. 

Key topics include:

  • The Supreme Court’s opinion
  • Tippee liability after Salman
  • Personal benefit(s) supplied to insider/tippers
  • The future of insider trading investigations