Jenner & Block

“Friends and Benefits: US Supreme Court Clarifies How Insider Trading Liability under US Law Differs from UK Law,” Global Investigations Review

In this article, Jenner & Block Partners Stephen L. Ascher and Christian Tuddenham and Associates Ali M. Arain and Tracey Lattimer examine the 2016 case of Salman v. United States, the first insider trading case in front of the US Supreme Court in more than two decades.  “The decision reinforced the single most important difference between insider trading in the UK and in the US: that the US offence includes a somewhat formal breach of fiduciary duty element,” the authors observe.  They analyze Salman and discuss the main differences between UK and US insider trading laws.  They urge market participants and compliance officers to be sensitive to key differences in the law, “which can be outcome determinative in situations that frequently arise in the marketplace.”