Investment Firms and Bad Faith
Negligence is any conduct that falls below the set standard of care that
a reasonable, prudent person would have utilized in the same situation.
The legal duty that brokers owe to investors is a standard duty of care
that includes due diligence and operating in good faith.
To be held liable for negligence, it is not necessary for the broker to
have intended the consequences of the negligent act. If a reasonable,
prudent person would have foreseen the potential for the consequences
arising out of such an act and taken reasonable steps to prevent such
consequences from occurring, the act can be deemed a negligent one.
Due to the immense trust investors place in brokers and securities advisors,
these professionals owe their clients a heightened standard of care in
maintaining and monitoring their accounts. If this standard of care is
violated, investors may suffer significant losses due to a broker's
Broker Negligence Comes in Many Forms.
In a stockbroker misconduct case, your investment fraud attorney will be
required to show that your broker's actions fell below the standard
of care. The following are examples of possible negligence:
- Your broker recommended an investment to you that a reasonable, prudent
financial advisor would not have recommended given your investment objectives.
- Your broker failed to monitor and maintain your accounts to prevent adverse
consequences from taking place and you suffered financial loss as a result.
Broker negligence claims are different from other legal cases and almost
always require mandatory securities arbitration before the Financial Industry
Regulatory Authority (FINRA). Not every lawyer is equipped to represent
broker negligence cases, so you need to be cautious in your selection
of a law firm.
Enlist an Investment Fraud Attorney from Meyer Wilson
If you have suffered financial loss due to the negligence of a broker,
securities advisor or brokerage firm, skilled and experienced securities
litigation attorneys may have the ability to recover your assets.
Meyer Wilson investment loss lawyers collectively possess over five decades of experience
helping victims of
broker fraud, and in our history have helped nearly a thousand clients successfully
recover hundreds of millions of dollars. Our aggressive pursuit of claims
on behalf of investor fraud victims resulted in over $350 million returned
to our clients.
Our tireless work on behalf of our clients extends from coast to coast
and border to border. Meyer Wilson has clients nationwide, from San Diego
and Tampa to New York and Seattle. If you want the insight of a lawyer
with experience taking on the nation's largest investment firms, complete
our online form for a
free case evaluation.