Are you a financial advisor in a dispute with your current or former broker-dealer? If so, the securities employment attorneys of The White Law Group may be able to assist you.
The White Law Group is a national securities arbitration and securities employment law firm with offices in Chicago, Illinois and Vero Beach, Florida. The firm represents financial advisors in disputes with their current or former employers throughout the country.
Licensed financial professionals, registered with FINRA, can face a variety of legal actions that can affect their ability to change jobs or even continue in their profession. The White Law Group is experienced with assisting brokers in the following types of claims (among others):
(1) defending promissory note claims – Many brokers receive an upfront payment when they start employment at a broker-dealer. The arrangement may be called a signing bonus, retention incentive, or transitional compensation, but is, in fact, a forgivable loan enforced by the promissory note contract signed by the broker at commencement of employment with the firm. These contracts are often litigated after a broker leaves the firm and moves on to a new firm. The White Law Group is experienced in defending such claims and helping advisors reduce their obligations under these contracts.
(2) improper solicitation claims – Solicitation claims deal with a broker’s ability to solicit their clients serviced at the old firm once they have moved to a new employer. The basis of law for these types of claims is centered on contractual non-solicitation agreements and the status of client information as confidential trade-secret information of the first broker-dealer employer. When a broker solicits a client after leaving his prior firm, this often results in litigation. The White Law Group can assist financial advisors in defending such claims.
(3) raiding claims – So-called “raiding” of a division of a brokerage firm is not protected under the Protocol for Broker Recruiting and firms can pursue actions under a number of legal theories; including breach of contractual obligation such as non-solicitation and/or promissory notes, the taking of confidential trade secrets, tortious interference with contracts, and breach of duty of loyalty. The White Law Group has the necessary experience to assist brokers in defending such claims.
(4) wrongful termination claims – Although financial advisors are generally “at will” employees, broker-dealers are still precluded from erroneously firing their advisors. When they do, the broker may have a claim to recover lost wages and any other damages resulting from the wrongful termination.
(5) Retaliation – Retaliation occurs when a firm takes any negative employment action a registered representative for asserting a legal right that would deter a reasonable employee from making a complaint in a similar situation. For example, a demotion or transfer in lieu of termination would still be actionable. The White Law Group is also experienced in assisting brokers in such situations.
(6) U-5 Defense – A broker’s Form U-5 tracks the occasions and reasons he or she has been let go by a financial firm. As such, it is a key part of the registered representative’s Central Registration Depository (“CRD”) File and a key piece of information any possible future broker-dealer employer will examine when making future hiring decisions. A misleading or otherwise harmful mark on a broker’s U-5 can have serious and detrimental effects in gaining future employment in the industry. Erroneous marks on a U-5 are serious matters. The White Law Group has the necessary FINRA experience to help brokers attempt to get their U-5 cleaned up.
For more information on The White Law Group, visit https://www.whitesecuritieslaw.com.
For a free consultation with a securities attorney, please call the firm’s Vero Beach office at 772-242-9330.