187. No insider of a reporting issuer having privileged information relating to securities of the issuer may trade in such securities or change an economic interest in a related financial instrument, except if he can prove that:
(1) he is justified in believing that the information is generally known or known to the other party;
(2) he is availing himself of an automatic dividend reinvestment plan, automatic subscription plan or any other automatic plan established by a reporting issuer, according to conditions set down in writing, before he learned the information; or
(3) he is required to do so under a contract the terms of which are set out in writing and which was entered into before he became aware of the information.
In the case described in subparagraph 1 of the first paragraph, the insider may not trade in the securities if the other party to the transaction is the reporting issuer and the transaction is not necessary in the course of the issuer’s business.
1982, c. 48, s. 187; 1984, c. 41, s. 45; 1987, c. 40, s. 21; 1990, c. 77, s. 33; 2009, c. 25, s. 33; 2006, c. 50, s. 56; 2011, c. 26, s. 72.