Should Trevor and His Wife Sell Their Shares?
Reasoning behind the decision to sell the shares:
Trevor's Position: As the director of Special Energy, Trevor is likely privy to inside information regarding the company's financial health and any potential negative impact the class-action lawsuit may have. If he believes that the lawsuit will significantly affect the company's stock value, it is in his best interest to sell his shares before this information becomes public.
Wife's Position: As an attorney in a law firm that is suing Special Energy, Trevor's wife also has insider knowledge of the situation. If she suspects that the lawsuit will have a detrimental effect on the company's stocks, she should advise Trevor to sell their shares before the news breaks to minimize their losses.
Financial Strategy: Selling the shares preemptively allows Trevor and his wife to protect their investment and potentially avoid a substantial financial loss. By selling while the shares are still worth something of greater value, they can secure their assets and prevent potential financial setbacks.
Conclusion:
In conclusion, Trevor and his wife should take the proactive step of selling their shares in Special Energy before the class-action lawsuit affects the stock's value. By being proactive and strategic in their financial decisions, they can safeguard their investment and mitigate any potential losses that may arise from the impending lawsuit.