Index Funds Can Trade Without License, Court Rules

Law360, New York (June 19, 2006, 12:00 AM EDT) -- A move by two major financial publishers to bar trading of options linked to their indices was barred by an appeals court in a case that hinges in part on unfair competition claims.

The International Securities Exchange can trade options without a license on two widely known exchange-traded funds without infringing on the funds’ trademarks, the Second Circuit unanimously confirmed on Friday.

The U.S. Court of Appeals for the Second Circuit upheld the ruling of the U.S. District Court for the Southern District of New York,...
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