ToyVille, Inc, is a publicly traded toy manufacturer specializing in games for girls and boy5 aged 8-12. On July 15 , ToyVille received notice from its key distributor of a $5 miltion claim for personal injury of an 11 -year-old child who was allegedly injured by a design defect in ToyVille's most popular product line. Toyville's board of directors held an emergency meeting and instructed its general counsel to issue a press release after the stock markets closed on July 17 describing the claim against the company. On the morning of July 17 ToyVille's stock was trading at $25.00 per share. That same morning one of the members of the board of directors told her stockbroker, Boswell, about the pending press release and instructed him to sell all of her shares in ToyVille that day. Boswell not only sold all of the director's stock but also stock he personally held in Toyville, and also called his most favored client and recommended to the client, without explaining why, that the client should sell all of her stock in Toyvile, The client agreed. The next morning when the markets opened (after the press release had become public). Toyville's stock immediately dropped to $15 share. As to Boswell the stockbroker, he would not be guilty of insider trading since be did not tel his client why the client should sell her stock. is not sully of insider trading since he is not a Toyvile insider. Wh most thely guilty as a tippee of information he knew ta be material, non-public, and confidential is not euilty of insider trading since he did not misappropriste material, non-pubdic, confidential information