Fed. Sec. L. Rep. P 90,280 Margaret Gwozdzinsky, Derivatively on Behalf of Revco D.S., Inc. v. Zell/chilmark Fund, L.P. And Revco D.S., Inc.

How courts have described this case

Verbatim parenthetical descriptions written by other courts when citing this decision. Ranked by citation-network relevance.

• “The statute, as written, establishes strict liability for all transactions that meet its mechanical requirements.”
• Section 16(b) was designed to prevent insiders from profiting “by virtue of . . . inside information”
• “[T]he [Supreme] Court, recognizing the overbreadth of Section 16(b), held that ‘under the strict terms of Section 16(b
• “Liability under Section 16(b) requires both a purchase and a sale within a six-month period.” (emphasis added)
• “Thus, under Rule 16b-6(d), any insider who writes a put option on securities of the issuer is liable under Section 16(b
• “[I]f speculative abuse alone were enough to invoke liability, then the more conventional purchases and sales that take place within six months and a day would result in liability, which plainly they do not.”

Source: CourtListener parenthetical corpus (CC0).