Plain-English summary
Court rejects broad 'right-to-control' theory of wire fraud, narrows what counts as property in fraud cases
The Court unanimously reversed the Second Circuit and held that the government cannot rely on the broad “right-to-control” theory to convert the deprivation of information into property for purposes of the federal wire fraud statute. The decision limits when omissions or concealment of information can support federal fraud charges under 18 U.S.C. § 1343.
Why this matters
The decision narrows the government’s ability to use federal wire fraud charges in cases that rest primarily on alleged deception by omission or by withholding information rather than on taking money or other tangible property. That affects how prosecutors bring fraud cases in many business and government contexts and protects defendants from federal criminal exposure based solely on alleged informational harms.
Who may feel it
- Business executives and corporate actors accused of deceptive omissions
- People charged with federal fraud offenses based on concealed information
- Prosecutors and defense lawyers handling white-collar crime
- Companies and public entities that deal in information and disclosures
- State prosecutors (who may handle some cases now that federal reach is limited)