4 ms·

I'm not up on this case at all. Any other thoughts as to Cuban's motives here?

kscaldef 16y ago
Presumably, having a pending investigation hanging over his head is bad for business.
smalter 16y ago
the procedural history of cuban's case is somewhat confusing. there are actually two ongoing suits right now. one is the insider trading lawsuit. the sec's suit against cuban was dismissed by a district judge in dallas for failure to state a claim (even if all the facts accused were true, they still wouldn't be enough to support a conviction of cuban). however, the court of appeals overturned that on appeal and sent the case back to the district court to keep going on the case. that happened relatively recently. the basic issue is whether cuban agreed to keep confidential the information he received. not long after the sec sued cuban, cuban sued the sec in district court in washington dc based on the freedom of information act (foia). this is the case being discussed in the article. he wants documents the sec used in its investigation of him and other documents. presumably cuban would get ahold of the relevant documents as part of the discovery process in the first lawsuit, but perhaps cuban sought some pr benefits of looking like he was going on the offensive and perhaps he thought he could learn more about what the sec had on him to prepare for the first litigation. the gist is that the sec acted in bad faith by withholding relevant documents from cuban. there was some discussion about whether the sec was stalling in the hopes that they'd get an exemption to foia provided by congress, but i believe obama repealed that provision in early october. cuban has been pretty brash this whole time, and as a matter of law, it's clearly not an open and shut case. the bravado i find somewhat embarrassing because it's pure grandstanding -- no court would ever grant his request (although judge walton is known as a bit of a renegade). as a matter of litigation strategy, i don't see much benefit to what cuban is doing here. the sec isn't going to back down and has been quite dogged about pursuing the case against cuban. i don't see any advantage in terms of litigation strategy. seems like pure pr.

Presumably, having a pending investigation hanging over his head is bad for business.

the procedural history of cuban's case is somewhat confusing. there are actually two ongoing suits right now. one is the insider trading lawsuit. the sec's suit against cuban was dismissed by a district judge in dallas for failure to state a claim (even if all the facts accused were true, they still wouldn't be enough to support a conviction of cuban). however, the court of appeals overturned that on appeal and sent the case back to the district court to keep going on the case. that happened relatively recently. the basic issue is whether cuban agreed to keep confidential the information he received. not long after the sec sued cuban, cuban sued the sec in district court in washington dc based on the freedom of information act (foia). this is the case being discussed in the article. he wants documents the sec used in its investigation of him and other documents. presumably cuban would get ahold of the relevant documents as part of the discovery process in the first lawsuit, but perhaps cuban sought some pr benefits of looking like he was going on the offensive and perhaps he thought he could learn more about what the sec had on him to prepare for the first litigation. the gist is that the sec acted in bad faith by withholding relevant documents from cuban. there was some discussion about whether the sec was stalling in the hopes that they'd get an exemption to foia provided by congress, but i believe obama repealed that provision in early october. cuban has been pretty brash this whole time, and as a matter of law, it's clearly not an open and shut case. the bravado i find somewhat embarrassing because it's pure grandstanding -- no court would ever grant his request (although judge walton is known as a bit of a renegade). as a matter of litigation strategy, i don't see much benefit to what cuban is doing here. the sec isn't going to back down and has been quite dogged about pursuing the case against cuban. i don't see any advantage in terms of litigation strategy. seems like pure pr.