This section contains the nature of the case and procedural background.

Horton (D) was a director of CBI Industries (P). D was also a co-trustee of a two-family trusts set up by his mother for the benefit of D's two sons. The original assets of the trust were P stock. In 1980, D sold 3000 shares of P stock from his own account. Within six months he then purchased 2000 shares of stock at a lower price for the trust accounts of his sons. The difference in the price was $25,000. The issue was whether D had violated 16(b). The trial court ruled that he did.

The legal issues presented in this case will be displayed here.

The court's holding and decision will be displayed here.

Legal analysis from Dean's Law Dictionary will be displayed here.