Rereading "Cady, Roberts": The Ideology and Practice of Insider Trading Regulation
Year: 1999
Type: article
Abstract: William Cary's opinion in the Cady, Roberts case is seminal in the development of modern insider trading regulation. This paper revisits three ideas that were important to the decision and that remain contested today. First, it explores the regulate? question, to which Cary replied (as Justice Ginsburg recently did once again in O'Hagan) in terms of the familiar investor confidence rationale. The paper considers, in a not unsympathetic way, the role of insider trading regulation as a useful myth within the structure of seccurities regulation. Second, it revisits the possession versus use question raised in Cady, Roberts and so many cases since. Third, it addresses the question of why insider trading regulation for so long has avoided definition and rulemaking in favor of open ended standards.
Source: Columbia Law Review
DOI: 10.2307/1123458
Author: Donald C. Langevoort
Institution: Georgetown University
Language: English
Subfield: Law
Field: Social Sciences
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2134285230