Monday, March 15, 2010
Wang on Insider Trading Damages
Bill Wang has published an article called "Measuring Insider Trading Damages for a Private Plaintiff," 10 U.C. Davis Business L. J. 1 (2009). Bill identifies four measures of damages: "pure" out of pocket; "expedient" out of pocket; recissory; and cover. No single measure is "fair" in all cases, he argues, because of real-world problems in determining what a particular plaintiff would have done absent the fraud.