Nacchio v. U.S.

NCLC urged the Supreme Court to grant certiorari to decide whether a company's internal financial forecasts is material information that must be disclosed by insiders to avoid criminal liability for insider trading under the securities laws. According to NCLC's brief, requiring disclosure of such forward-looking predictions would clutter the marketplace with relatively insignificant data and make it more difficult for investors to identify and react appropriately to truly important information. NCLC also argued that requiring insiders to disclose such information would seriously undermine the use of stock-based compensation systems, which align shareholders’ and insiders’ interests.

The Supreme Court declined to review this case.

Amicus supporting cert. brief filed 4/22/09. Cert. denied 10/5/09.