The prop states that it will pay out long only if all four defendants are found innocent by March sixth. The way it works is if the prop doesn't get satisfied by the closing date, then it pays out short.

Yup, and IMHO I can't see a trial ending by the end of the week that hasn't even had closing comments yet. But yet the stock is going up. Odd, but oh wait! There will be plenty of time to change your position once the news is posted or at the last minute on march 5th.

Thanks for the advice

Trial is over and the verdict is expected in April. Pretty safe short at this point.