Table of Contents - Practising Law Institute

[D][3] SEC v. Materia: Misappropriation in the
Civil Context ................................................... 16-24
[D][4] Carpenter v. United States: Fraud on the
Market ............................................................. 16-25
[D][5] United States v. Chestman: What Exactly
Is a Fiduciary?.................................................. 16-27
[D][6] United States v. O’Hagan:
Misappropriation—No Turning Back .............. 16-29
[D][7] United States v. Cassese: Imposing
Limitations on Misappropriation..................... 16-32
§ 16:1.3 Law Prohibiting Trading on Material
Nonpublic Information in the Context
of a Tender Offer................................................. 16-34
[A] Section 14(e) and Rule 14e-3(a) .......................... 16-34
[A][1] Chestman and O’Hagan .................................. 16-36
[A][2] United States v. Cassese .................................. 16-38
§ 16:2 Establishment of Insider Trading Procedures.............. 16-41
§ 16:2.1 Types of Procedures Used by Brokerage
Firms................................................................... 16-42
[A] Firewalls.............................................................. 16-43
[B] Restricted Lists and Other Monitoring Tools...... 16-43
[C] Communication and Education.......................... 16-45
[D] Recent Enforcement Actions Against
Financial Industry Professionals ......................... 16-45
§ 16:2.2 Rule 10b5-1: The SEC’s Solution to the
Issue of the Trader’s “Use” or “Knowing
Possession” of Material Nonpublic
Information at the Time of a Trade.................... 16-47
[A] Background ......................................................... 16-48
[B]
Impact of Rule 10b5-1 on Insider Trading
Litigation ............................................................ 16-50
[C] Rule 10b5-1 As a Defense................................... 16-53
[D] SEC’s Increased Focus on 10b5-1 Plans ............. 16-53
[E] Relevance to Brokerage Firms ............................. 16-54
§ 16:3 Additional Developments in Insider Trading
Jurisprudence and Enforcement.................................. 16-54
§ 16:3.1 Rule 10b5-2: Duties of Trust or Confidence
for Misappropriation Liability............................. 16-54
[A]
[B]
Table of Contents
Attempting to Define a “Fiduciary-Like
Relationship” ...................................................... 16-54
Potential Liability Arising Out of
Confidentiality Agreements ................................ 16-55
§ 16:3.2 Insider Trading by Hedge Funds ......................... 16-60
§ 16:3.3 Insider Trading in Connection with Private
Investment in Public Equity Transactions .......... 16-64
(Broker-Dealer Reg., Rel. #3, 5/13)
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