Research On The System Of Civil Liability Of Inside Trading

The inside trading is a kind of illegal transaction on the trade market of the securities, the remedy of such behavior is legal liability. It is mainly civil liability, administrative and criminal liability. Current Securities Law and relevant laws of our country have all done the regulation in various degree to the administrative and criminal liability, the civil liability which directly can reflect the remedy function to those injured trading parties lacks the systematic regulation. The essay has mainly discussed around the civil liability question of the inside trading in the securities, and proposed that the system of civil liability of inside trading should be structured in our country. First of all, the essay has probed into the legal foundation of structuring the system of civil liability of inside trading. And think that its civil law foundation is the equal principle and sincere principle. The inside trading is antipathetic to the equal principle and sincere principle in civil law. The former is the first civil law foundation of the inside trading civil liability. The latter is the second foundation of civil law. The disclose principle and reveal principle should be its business law foundation, such disclosed principle is the most important business law foundation which makes very great function securities trading. Inside trading mainly refer to controlling inside information and going on the securities trading in accordance with inside message. It acts counter to the reveal principle, and is the second important business law foundation in building the civil liability of insider trading. Secondly, the essay has defined the subject and carrier of civil liability in inside trading. In subject, the born subject and investigated subject are discussed. It also proposes when our country establishes the system of civil liability of inside trade in securities, the "wholly classified legislative style" should be established according to the regulations of structuring the responsible subject. Combining of the practice of our country security market and securities legislate it makes " localization" definition the direct and indirect people. And it proposes correspondingly to investigate subject who in order to make transactions are decreased, namely ignorant securities seller or seller. As to carrier, the essay proposes inside trade carrier of civil liability is the inside information. The sureness of the inside information is the key point to judging whether civil liability happens. The text observes the foreign regulations of information and makes comparisons with the relevant regulation of Securities Law in our country, and regarding the combination of statutory law and typical legal precedent is the mode to define the inside information. In judging the standard, the substantive and secret standard are accepted. Moreover, this text analyses the nature and the responsibility principle of inside trading especially. On nature, I think that inside trade civil liability is a kind of liability for tort instead of the liability for breach of contract, and has expounded the meaning of the liability for tort. Belonging to the responsibility principle, " double doctrine" system is chosen. And according to different classification of the responsible subject, the author think it should adopt direct responsibility principle to direct insiders and fault principle to indirect insiders.Finally, it analyses the documents and compensation mechanism of civil liability in insider trading. On forming important document, distinguishing direct insiders and indirect insiders the author makes three important documents system and four important documents system; One direct function of inside trading civil liability is to compensate for the other party by damages. After analyzing the several mistaken understanding idea and way of establishing when establishing the system of civil liability of inside trade, the essay puts forward the calculation rule and realizing mechanism of civil damages.