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The Misappropriation Theory Of Insider Trading: Its Past, Present, And Future, Troy Cichos
The Misappropriation Theory Of Insider Trading: Its Past, Present, And Future, Troy Cichos
Seattle University Law Review
In this Comment, I discuss the evolution and current application of the misappropriation theory of insider trading and argue that it simply strays too far from the fraud tenets of Section 10(b) and Rule 10b-5. A thorough understanding of the misappropriation theory is possible only if one understands how it diverges from the classic theory of insider trading. Therefore, in Section II, I discuss the evolution and present doctrine of classic insider trading. The discussion in this Section focuses on major cases in the development of this theory. Section III presents the misappropriation theory of insider trading. Section III focuses …