If you have experienced stock or investment fraud, you may have a right to recover money lost as well as damages. Securities lawyers may be able to recover losses for you.
Arbitration
Disputes between clients and brokers are usually not resolved in the courts, but though a process called arbitration. Arbitration involves independent arbitrators who evaluate evidence from the people involved in a dispute as opposed to taking the dispute to a government court and having a judge decide. Arbitrators are independent and chose by consent of the parties to resolve the dispute. Arbitration is generally a much faster and less expensive means of resolving a dispute than using a civil court.
Why do disputes with brokers usually involve arbitration instead of going through the court systems?
Disputes between customers and their brokers are generally subject to arbitration because most brokerage firms use arbitration agreements as a condition to establishing a brokerage account. When you create an account at a brokerage, the contract will invariably contain an arbitration clause that requires as a condition of opening or maintaining an account that you agree to use arbitration to resolve disputes with your broker, rather than sue through the courts.
The agreement will say something such as:
"I agree to settle by arbitration any controversy between myself and [the brokerage firm or its agents] relating to the Account Agreement, my Account, or account transactions, or in any way arising from my relationship with [the brokerage firm or its agents] as provided in... the Account Agreement."
Will arbitration provide fair compensation?
In general, an investment fraud case will receive speedier treatment in arbitration hearings and the compensation will be similar to that if the case had been handled by a state or federal court. These sample cases show that large settlements are available through the arbitration process.
Firms Named Total Award (in millions) Date
Refco LLC, Capital Insight Brokerage $43.0 June 30, 2001
Party unknown $40.9 June 4, 1999
Prescott Ball & Turben $38.2 May 2, 1990
Pompano-Windy City Partners , East Wind Associates $26.0 March 14, 1991
Kidder Peabody $21.5 Oct. 16, 1998Legal Help
The attorneys representing your broker will be experts in securities litigation. We have attorneys with a high degree of expertise and experience in large stockbroker fraud cases. They've helped people in similar circumstances to your and can best represent your interests. Contact an attorney
Steps attorneys take to protect your interests in the event of investment fraud:
1. study the losses in your brokerage accout.
2. evaluate the losses relative to the overall market conditions.
3. analyze the trading activity in your account and the commissions charged.
4. evaluate what recommendations your brokers made to see if they reflected his self interest and if they were suitable to you.
5. Attorneys will then proceed with these findings and develop a case including the use of expert witnesses and analysis of state, federal and professional regulations.
Contact Us | ML Lawsuits | SSB Lawsuits | CSFB Lawsuits | Churning | Unauthorized Trades | Unsuitable Investments| Failure to Place Order | High Pressure Sales | Overconcentration | How the Law Works | Home
We are a network of attorneys who handle Stock Broker Fraud in the United States
Submit your case for confidential discussion with an attorney.