* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer seeking rescission of his investment in various municipal bonds including Arizona Industrial Development Authority Economic Development Revenue Bonds along with $3 million in compensatory damages loses his case against Respondent broker-dealer. A Non-Party broker is awarded expungement of this matter from his CRD record, while another Non-Party broker loses his request of the same.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
Two customers alleging elder abuse and seeking nearly $7.5 million in compensatory damages settle their case against Respondent broker-dealer and registered representative. Registered representative is awarded expungement of this matter from his CRD record.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Philip Aaron Tymon, JD - Chair; Gary S. DeWeese; Jonathan Polland
Broker-Dealers Named
First Republic Securities Company LLC
Professionals
Cs: Tyson C. Redenbarger, Cotchett Pitre & McCarthy LLP, Burlingame, CA.
Rs: (FRSCLLC) Mark L. Parmelee, Greenberg Traurig LLP, White Plains, NY. OSC.
Rs: (SCS) E. Jeffrey Banchero, Banchero Law Firm LLP, San Francisco, CA. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
An All-Public Panel grants Respondent broker-dealer's Motion to Dismiss (Directed Verdict) with prejudice pursuant to FINRA Rule 12504(b) after finding that Claimant failed to meet his burden of proof. Respondent broker-dealer prevails on its Counterclaim relating to an unpaid debit balance in Claimant's securities account.
Notes
Directed Verdict -- Full Dismissal. All-Public Panel. Arbitrator Remarks.
Arbitrators
Barbara M. Zak, Esq. - Chair; Katherine Jane Morris; William (Lee) Biddle
Broker-Dealers Named
Robinhood Financial LLC
Professionals
Cs: Pro se.
Rs: (RFLLC) William M. Turner, Turner Dhillon LLP, Los Angeles, CA. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
Two customers (Individually and on behalf of their IRAs) alleging that they were aggressively pushed into purchasing high-risk investments such as junk bonds and structured products settle their case against Respondent broker. Respondent broker settles his Counterclaim for defamation and is awarded expungement of this matter from his CRD record.
Notes
This is a Stipulated Award. All-Public Panel. Arbitrator Remarks -- Expungement granted.
Arbitrators
Peter Shapiro - Chair; Seth L. Finkel, Esq.; Nancy Rosenbaum Kessler, JD
Broker-Dealers Named
None.
Professionals
Cs: Gary S. Menzer & Michael Hill, Menzer & Hill, Boca Raton, FL.
Rs: (ZF) Andrew S. May, Hahn Loeser & Parks LLP, Chicago, IL.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
An Arbitrator explains why he has decided to deny two customers' claims against Respondent broker-dealer after finding that said customers failed to provide evidence of a loss resulting from the conduct of Respondent broker-dealer. In fact, the Arbitrator found that Respondent broker-dealer's conduct throughout the period of time when they maintained account was reasonable and appropriate.
Notes
Please Note* This matter proceeded pursuant to Rule 12800 of the Code under the Special Proceeding option. Arbitrator Remarks -- Explained Award.
Arbitrators
Peter Shapiro
Broker-Dealers Named
Fidelity Brokerage Services LLC
Professionals
Cs: Pro se, through Martin H. Shank, Coral Springs, FL.
Rs: (FBSLLC) Kevin S. Blume, FMR LLC Legal Department, Boston, MA. ISC and Preston Martin, Bressler Amery & Ross, Birmingham, AL. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer (individually and on behalf of IRA) alleging mismanagement of his retirement savings settles his case against Respondent broker-dealer. A Non-Party registered representative is awarded expungement of this matter from her CRD record.
Notes
This is a Stipulated Award. Rescission Requested. All-Public Panel. Panel composition issue. Arbitrator Remarks -- Expungement granted.
Arbitrators
Thomas James Hirsch - Chair; Shaquana Ellison
Broker-Dealers Named
JP Morgan Securities LLC
Professionals
Cs: Samuel B. Edwards, Shepard Smith et al., Houston, TX.
Rs: (JPMSLLC) Jason R. Lindsay & Hannah B. Shanks-Parkin, Greenberg Traurig LLP, Los Angeles, CA. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
In this small claims arbitration, a customer alleging Respondent broker-dealer failed to timely execute his request to close his short position in SPWR, thus causing the price of his position to be more than on the previous day when the request was made is awarded compensatory damages.
Notes
Please Note* This matter proceeded pursuant to Rule 12800 of the Code under the Special Proceeding option.
Arbitrators
Leon Fox, JD
Broker-Dealers Named
E*TRADE Securities LLC
Professionals
Cs: Pro se.
Rs: (ETRADESLLC) Alan D. Romero, Morgan Stanley Wealth Management, San Francisco, CA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A Panel awards a broker expungement of a customer complaint from appearing on his CRD record after finding he was not involved with the investment-related sales practice violation and said complaint was false.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
Laura A. Kaster - Chair; David I. Levine, Esq.; Philip Aaron Tymon, JD
Broker-Dealers Named
LPL Financial LLC
Professionals
Cs: (DPR) None.
Rs: (LPLFLLC) Kristine R. Thomson & Eric A. Michaels, Saretsky Hart et al., Birmingham, MI. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
In this Big $s Award, a broker is awarded over $9 million in damages (inclusive of $2 million in punitive damages) from her former employer after the Panel found Respondent broker-dealer liable on her statutory employment discrimination claims pursuant to Minn. Stat. §363A.02 subd. 1(a)(a). Claimant's case stems from allegations that Respondent broker-dealer wrongfully terminated her due to gender and age as she was nearing retirement.
Notes
Big $s. Punitive Damages Awarded. Age and Gender Discrimination case. Panel composition issue. Majority Public Panel. Arbitrator Remarks.
Arbitrators
Nathaniel Cade, Jr., Esq. - Chair; Kevin D. Hofman, Esq.; Jo Anne F. Lewellen, JD
Broker-Dealers Named
RBC Capital Markets LLC
Professionals
Cs: (CC) Joseph W. Anthony & Cory D. Olson, Anthony Ostlund et al., Minneapolis, MN.
Rs: (RBCCMLLC) Jill L. Rosenberg, Orrick Herrington & Sutcliffe LLP, New York, NY. OSC and Stephen M. Phillips & Jennifer Zwilling, Jackson Lewis PC, Minneapolis, MN. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A Panel awards a registered representative expungement of a customer complaint from appearing on his CRD record after finding said complaint to be false under FINRA Rule 2080.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
Eric Ross Cromartie - Chair; Robert S. Zuckerman, Esq.; Fern M. Laethem
Broker-Dealers Named
Morgan Stanley
Professionals
Cs: (RKL) Brian Luther, FA Expungement Services LLC, Denver, CO.
Rs: (MSSBLLC) Trae D. Meyr, St. Petersburg, FL. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
In this small claims arbitration, a crowdfunding investor seeking a refund of his investment in Cityzenith loses his case after the Arbitrator found that the deadline to request a refund from Respondent expired and his investment was transferred to the crowdfunding recipient.
Notes
Please Note* This matter proceeded pursuant to Rule 12800 of the Code. Cs did not request a hearing. Arbitrator Remarks -- Explained Award.
Arbitrators
W. Michael Kelley, Esq.
Broker-Dealers Named
Wefunder Portal LLC
Professionals
Cs: Pro se.
Rs: (WPLLC) Christopher Vail, San Francisco, CA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A Panel grants a broker's request for expungement of a customer complaint from his CRD record after finding that said request met all three criteria under FINRA Rule 2080.
Notes
Arbitrator Remarks -- Expungement granted.
Arbitrators
William W. Haskell, Esq. - Chair; Nancy Hutt, Esq.; Howard A. Buchler
Broker-Dealers Named
Morgan Stanley
Professionals
Cs: (RRH) Michael Kalmus, Law Offices of M. Kalmus, New York, NY.
Rs: (MSSBLLC) Jeffrey P. Palmer, Greenberg Traurig LLP, East Palo Alto, CA. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A majority of the Panel granted Respondent broker-dealer's Motion for Directed Verdict based upon their finding that the customers failed to meet their burden of proof to show that Respondent violated a rule or policy pertaining to handling accounts of vulnerable seniors to address potential scams.
Notes
Directed Verdict -- Full Dismissal. Majority Public Panel. Arbitrator Remarks -- Arbitrator Chair dissents with explanation.
Arbitrators
Anna M. Fanelli, Esq. - Chair (Dissents); Kevin Marcus-Kanesaka; Edward Carrasco
Broker-Dealers Named
E*Trade Securities LLC
Professionals
Cs: Noam Greenspan, Talkin Muccigrosso & Roberts LLP, New York, NY.
Rs: (E*TSLLC) Daniel R. Korb Jr., Bressler Amery & Ross, Florham Park, NJ. OSC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A customer alleging his account was improperly handled and his shares in the Spotify Stock Plan were sold without adequate notice or consent is awarded compensatory damages from Respondent broker-dealers.
Notes
None.
Arbitrators
Kent L. Benziger, Esq.
Broker-Dealers Named
Morgan Stanley & Company LLC; E*Trade Securities LLC
Professionals
Cs: Pro se.
Rs: (MS&CLLC & E*TSLLC) John E. Bersin, Roseville, CA. ISC.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
In this small claims arbitration, a customer alleging that his mother (as power of attorney) was unable to sell his short ETF positions due his account being improperly frozen loses his case against Respondent broker-dealer.
Notes
Please Note* This matter proceeded pursuant to Rule 12800 of the Code. Cs did not request a hearing.
* Damage field dollar figures are divided by 1,000 and rounded to the nearest $100; e.g., $2,500 appears as" 2.5."
Case Summary
A two customers (Individually and on behalf of their Conjugal Partnership and Retirement Plan) alleging elder abuse among other allegations and seeking $9.5 million in damages as well as rescission of their investment lose their case against Respondents on statute of limitations grounds pursuant to FINRA Rule 12206(a) (Six-year Eligibility Rule).
Rs: (EDJ&CLP) Jonathan W. Hackbarth, Quarles & Brady LLP, Milwaukee, WI. OSC.
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