Partners Daniel Tehrani and Frederick Block and associate Michelle Arra wrote an article for Law360 analyzing a jury verdict in United States v. Klundt and Sargent, which found an alleged tipper not guilty of insider trading and the alleged tippee guilty.
The article summarizes the case, discusses the history of tippee liability insider trading, and reviews a 2007 case that dealt with different jury verdicts for a tipper and tippee.