Insider Legal Meaning and Definition

Here is a simplified definition of the legal term Insider.

Insider (noun): An insider, in legal terminology, is an individual who has access to confidential or non-public information about a company that the general public does not. This can include specific details related to the company's future plans, orders, management, or any other factors that may influence the company's stock value. If such a person uses this privileged information for personal gain or discloses it unlawfully, it may constitute a breach of federal law, as such information is supposed to remain private and confidential.