Charles Schwab Corporation (NASDAQ: SCHW) is one of the world's largest discount brokers. Founded in 1973, Charles Schwab is a savings and loan holding company, which through its subsidiaries engages in securities brokerage, banking, and related financial services. The publicly traded company is headquartered in San Francisco, California and has over 300 branch offices in 45 states, one branch in London, and one in Puerto Rico.
A securities brokerage firm licensed by FINRA, Charles Schwab has a legal duty to supervise its brokers and its brokers' recommendations to clients to ensure compliance with and prevent violations of the rules of the security industry. When an individual broker is negligent or acts in an unlawful manner against the interests of the client and that client suffers damages as a result of such wrongdoing, the firm may be held liable for the investor's losses.
Charles Schwab & Charles Schwab Registered Broker Misconduct
Charles Schwab has a checkered past. Like many investment firms in the U.S., there have been certain instances that warranted disciplinary action from FINRA or the SEC. For example, in 2011, FINRA required Charles Schwab to pay back investors $18 million in connection with YieldPlus Bond Funds. FINRA found that Charles Schwab had been improperly marketing these bond funds by misrepresenting them and concealing certain pertinent information.
In 2012, FINRA charged Charles Schwab for violating some of its rules. FINRA found that the investment firm had mandated that its investors waive their right to bring class action lawsuits against them. Charles Schwab also made its investors agree that arbitrators in any arbitration proceedings could not consolidate multiple claims. Both requirements violated FINRA's rules.
In February 2013, three complaints were brought against Charles Schwab. Although FINRA ended up dismissing two of them, one remained and the FINRA panel required the investment firm to pay a $500,000 fine in addition to amending their account-opening document verbiage. If you or someone you know lost a significant amount of money after investing with Charles Schwab or due to the misconduct of a Charles Schwab registered broker, then you may have a claim. Contact us to learn if we can help you recover your losses caused by Charles Schwab & Co., Inc.
Contact Meyer Wilson to Discuss Your Investor Claim Today
It takes a great deal of financial and professional resources to challenge an investment firm like Charles Schwab, perhaps one of the most powerful investment firms in the world. Because Meyer Wilson’s securities fraud attorneys practice exclusively in investment fraud law, we have developed the right resources to help clients reclaim their lost assets, no matter how big or well-prepared Charles Schwab may be.
Our firm can conduct detailed investigations that allow us to aggressively and confidently pursue claims against the brokerage firm in federal and state court, as well as in arbitration with FINRA, the American Arbitration Association, and private arbitration. We even represent international clients who have claims against FINRA-licensed U.S. firms. All told, we have helped hundreds of clients reclaim hundreds of millions of dollars from firms like Charles Schwab.
If you lost more than $75,000 in investments after investing your hard-earned money with Charles Schwab, we'd like to hear from you. To determine whether you have a case against Charles Schwab for your losses, call an investment fraud lawyer at our firm or complete our online form to request a free case evaluation.