Malum Insanum
September 2, 2010 -- Legal scholars distinguish between behavior that is malum in se (wrong in itself, such as murder, rape, and theft) and behavior that is malum prohibitum (wrong merely because it is against a society’s structural rules, such as driving on the left side of the street in America or the right in Britain). I sometimes wonder if we do not need a third category: malum insanum, behavior that is wrong merely because someone in authority has set down a completely arbitrary edict that declares it to be wrong. That, at least, is the reflection prompted by yesterday’s SEC settlement of insider-trading accusation against two friends, one of whom boasted about his work on a possible corporate acquisition and one of whom traded on the information—for his own benefit, not for their joint benefit.

Sep 2, 2010
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