#62024CJ0376EU Court Clarifies When Media Disclosure of Inside Information Can Be Penalized
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This judgment clarifies how EU market abuse rules apply when a politician shares inside information through the media. The Court examines the line between protecting financial markets from unfair information leaks and protecting freedom of expression, including political speech and media communication. For financial regulators, listed companies, public officials, journalists, and compliance teams, the practical point is that media-related disclosure is not automatically protected. Authorities must assess whether the disclosure served a legitimate public-interest or journalistic purpose, and whether any penalty is proportionate given free-speech rights.
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Key Changes
- Clarifies that disclosure of inside information through the media can still fall under EU market abuse rules
- Requires regulators to weigh market integrity against freedom of expression and media freedom
- Confirms that penalties must be proportionate and based on the purpose and context of the disclosure
Obligations
What this law requires
Under EU market abuse rules, disclosure of inside information through or to the media is not automatically exempt from unlawful-disclosure rules solely because it occurs in a media or political-speech context.
Authorities assessing media-related disclosure of inside information must consider freedom of expression protections, including political speech and media communication, when interpreting and applying market abuse rules.
Before penalising disclosure of inside information in the media, authorities must assess whether the disclosure served a legitimate public-interest or journalistic purpose and whether the penalty is proportionate in light of freedom-of-expression rights.