{"id":812,"date":"2019-08-05T12:43:52","date_gmt":"2019-08-05T16:43:52","guid":{"rendered":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/107-online\/a-friend-in-need-may-get-you-in-trouble-for-insider-trading-indeed\/"},"modified":"2025-05-12T11:14:11","modified_gmt":"2025-05-12T15:14:11","slug":"a-friend-in-need-may-get-you-in-trouble-for-insider-trading-indeed","status":"publish","type":"page","link":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/submit\/glj-online\/107-online\/a-friend-in-need-may-get-you-in-trouble-for-insider-trading-indeed\/","title":{"rendered":"A Friend in Need May Get You in Trouble for Insider Trading Indeed"},"content":{"rendered":"<p>This Note posits that the Second Circuit&#8217;s new definition of friendship for insider trading cases, as set forth in\u00a0<i>United States v. Martoma<\/i>, is incorrect. Rather,\u00a0<i>United States v. Newman<\/i>\u2019s close standard is the correct definition of friendship. The paper is divided into two parts. Part I addresses the antecedent issue of whether\u00a0<i>Salman v. United States<\/i>\u00a0rejected the close standard, concluding that\u00a0<i>Salman<\/i>\u00a0neither expressly nor impliedly rejected the close standard. Part II establishes that prior cases and the underlying policy rationale of the prohibition against insider trading compel the conclusion that the close standard is the proper definition of friendship under the gift theory.<\/p>\n<p>Continue reading <em><a href=\"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-content\/uploads\/sites\/26\/2019\/10\/bush-friend-need-may-get_ACCESSIBLE.pdf\" target=\"_blank\" rel=\"noopener noreferrer\" class=\"cx_external_link\"><span class=\"cx_external_hyperlink\">A Friend in Need May Get You in Trouble for Insider Trading Indeed<\/span><span class=\"visually_hide\">(This link opens in a new tab)<\/span><span class=\"cx_external_icon\"><\/span><\/a><\/em>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>This Note posits that the Second Circuit&#8217;s new definition of friendship for insider trading cases, as set forth in\u00a0United States v. Martoma, is incorrect. Rather,\u00a0United States v. Newman\u2019s close standard [&hellip;]<\/p>\n","protected":false},"author":627,"featured_media":0,"parent":810,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"abstract.php","meta":{"_acf_changed":false,"_price":"","_stock":"","_tribe_ticket_header":"","_tribe_default_ticket_provider":"","_tribe_ticket_capacity":"0","_ticket_start_date":"","_ticket_end_date":"","_tribe_ticket_show_description":"","_tribe_ticket_show_not_going":false,"_tribe_ticket_use_global_stock":"","_tribe_ticket_global_stock_level":"","_global_stock_mode":"","_global_stock_cap":"","_tribe_rsvp_for_event":"","_tribe_ticket_going_count":"","_tribe_ticket_not_going_count":"","_tribe_tickets_list":"[]","_tribe_ticket_has_attendee_info_fields":false,"footnotes":"","_tec_slr_enabled":"","_tec_slr_layout":""},"class_list":["post-812","page","type-page","status-publish","hentry"],"acf":[],"ticketed":false,"_links":{"self":[{"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/pages\/812","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/users\/627"}],"replies":[{"embeddable":true,"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/comments?post=812"}],"version-history":[{"count":4,"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/pages\/812\/revisions"}],"predecessor-version":[{"id":1001,"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/pages\/812\/revisions\/1001"}],"up":[{"embeddable":true,"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/pages\/810"}],"wp:attachment":[{"href":"https:\/\/www.law.georgetown.edu\/georgetown-law-journal\/wp-json\/wp\/v2\/media?parent=812"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}