In addition to providing suitable investment advice, brokers are also required to obtain the explicit permission of their customers before making any trades in their accounts. When a broker makes a sale or purchase on behalf of a customer without the customer’s prior knowledge and authorization, the broker has engaged in improper and illegal unauthorized trading. There a few key points you’ll want to be aware of before you head to FINRA arbitration. First, arbitration is usually the less expensive and more timely option when it comes to filing a complaint and seeking financial recovery of your stock market losses. Cases heard in arbitration can still take as long as 18 months to resolve, though many are resolved sooner. Investing in the stock market always means that you are taking a risk that you’ll lose out on your investment.

For this reason, it can be difficult to know whether your losses justify a FINRA arbitration claim. We spend nearly all of our professional time litigating investment disputes, exclusively representing investors injured by stockbrokers, investment advisors, insurance agents, and other investment professionals. More Practice Areas We also specialize in elder financial fraud, securities mediation, commercial disputes, annuity and insurance product losses, trust and estate litigation, and more.

Registered representatives should be aware of the legal implications contained in any employment agreements they sign and what, if any, restrictions on their activity might be in those agreements. During Carvana Stock Loss Lawyer of their employment, their current or former employer may file amendments to their Central Registration Depository (“CRD”) disclosure history. For individuals, a false or inaccurate CRD disclosure could have a serious and negative impact on their livelihood.

Unauthorized Trading

Options are popular among speculators as they allow investors control many shares of an investment with minimal initial cash outlay. OptionsOptions are contracts that allow a purchaser to buy or sell a security, such as a stock or exchange-traded fund. Some options have unlimited upside and downside, while others can only result in losing the contract value. Certificates of Deposit – An insured deposit account that offers a predictable return at high-interest rates than savings accounts. However, investors cannot withdraw money for a set term without a penalty.

What is Stock Broker or Financial Advisor Fraud?

Recommending unsuitable investments that don’t match your goals and risk tolerance. “No attorney-client relationship in being created with the Meissner firm without a written agreement between the firm and the client.Emailing the Meissner firm, its attorneys or employees does not create an attorney-client relationship. Even if mediation does not result in a settlement, it can help set the stage for arbitration. However, mediation will not make sense in all cases, and, if your broker is not willing to mediate in good faith, then it can end up being a waste of time. If your stockbroker is willing to mediate in good faith, then pursuing mediation can even further reduce the amount of time it takes to achieve a resolution.

However, FINRA may grant financial hardship waivers when warranted. Lubiner, Schmidt & Palumbo is an experienced securities arbitration firm. We have generally represented brokerage firms and investment advisors in cases alleging negligence, fraud, misrepresentation, churning, and unsuitability – now we are ready to handle your investment fraud case. The law firm of Lubiner, Schmidt & Palumbo has earned a reputation for cost effective, aggressive, and innovative advocacy on behalf of our clients.