As we wrote yesterday, the CIO of Equifax is currently facing civil and criminal liability following trading he made after his employer suffered a major cybersecurity breach. As we indicated in our prior blog post, the SEC has filed a complaint alleging liability because he independently figured out that his employer was the victim of a breach and traded on that information.
Continue Reading You Might Be an Inside Trader If: Insider Trading and Data Breaches Part II
Privacy Litigation
You Might Be an Inside Trader If…: Insider Trading and Breaches Part I
By Kari Rollins & Sarah Aberg on
Earlier this year, the SEC released cybersecurity guidance addressing, among other things, the risk of insider trading in the event of a data breach. The insider trading risk includes risk that the intruder will trade on stolen information and risk that insiders will trade on the knowledge of the breach itself. In this manner, the SEC has added itself to the ever-growing pool of potential regulatory enforcers who may be quick to act in the event of a data breach.
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Continue Reading You Might Be an Inside Trader If…: Insider Trading and Breaches Part I