Sripetch v. SEC · ¶58
Nor does SEC disgorgement correspond to the “accounting for profts” equitable remedy, as some have argued. That remedy more broadly entitles the plaintiff to the defendant's profts from the “use of” the plaintiff 's property without requiring him to trace his original property to the property that he seeks to recover. Id., at 214, and n. 2. But, unlike SEC disgorgement, an accounting for profts is fundamentally “transitive” and involves “an accounting by A to B” for the profts A obtained with B's property. Bray, Fiduciary Remedies 454. It traditionally was limited to cases in which a fiduciary misused his principal's properties or in which the plaintiff had a trust-like interest in the funds sought. See 3 J. Pomeroy, Equity Jurisprudence § 1421 (1883); J. Eichengrun, Remedying the Remedy of Accounting, 60 Ind. L. J. 463, 468, 482 (1985). Recognizing these limits, one treatise explained…Read in context ›
preliminary print (page proof)
Source edition
Passage preview. Read in context for the complete text, notes and references.