January 19, 2016
Partner Randall D. Lehner was quoted in the Law360 article “Lawyers React To High Court's Decision To Hear Trading Case.” On January 19, the U.S. Supreme Court agreed to consider the question of what sort of personal benefit needs to be shown in order to hold someone liable for trading on inside information. In this article, attorneys comment on why the court's decision to hear Salman v. U.S. is significant, as well as why the court may have opted to hear Salman instead of reviewing the Second Circuit's landmark Newman decision.
Mr. Lehner remarks that, "With the increasing attention from prosecutors and regulators on bringing insider trading cases, the Supreme Court may have agreed to hear Salman’s appeal to clarify its decision in Dirks that is over 30 years old. There are some potentially key differences between the Newman and Salman cases, including the familial relationship and the tippee’s relatively greater level of closeness to the tipper in Salman that could be a basis for the Supreme Court’s decision to hear the Salman case.”
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