Do Brokers Need Authorization?

Investor Claims Is What We Do - All Day, Every Day

Since 1999 our law firm has recovered more than $350,000,000 for victims of investment fraud and misconduct.
  • Jury Verdict Won Against Prudential Securities $262 Million
  • Recovered for 100-Year Old Widow $30 Million
  • Recovered in Retirement Losses $10 Million
  • Recovered for a Large Group of Individual Investors $6.5 Million
  • Recovered for Elderly Victim in Ponzi Scheme Case $3.8 Million
  • Recovered for Elderly Ponzi Scheme Victim $3.2 Million
  • Recovered for More Than 50 Families of Ponzi Scheme in California $3.2 Million
  • Recovered for 35 Families in Northeast Ohio $3.1 Million
  • Losses Recovered for 20 Retirees $3 Million
  • Recovered for Retired Physician Against Major Wall Street Firm Prior to Filing FINRA Arbitration $2.5 Million

Do Brokers Need Authorization to Make Changes?

In most instances, your stockbroker is required to obtain your permission before making a purchase or sale in your investment account. When your broker doesn’t get your prior authorization and goes ahead and makes the transaction anyways, you may have a claim for unauthorized trading. Even if your broker had good intentions and believed a particular transaction was in your best interest, he or she cannot execute the transaction without reaching you or getting your express approval before making the trade.

If you think your broker may have made transactions without your prior knowledge or consent start gathering copies of important documents and do not wait to speak with a respected and experienced investment fraud attorney. The sooner you act the better chance you have of a positive outcome during the mandatory FINRA arbitration.

If you discover the trades remain on your behalf without your permission you will need to prove that the unauthorized transactions occurred, that you did not give permission for the trade, and that you suffered loss from the unauthorized trade. Keep in mind that customers can provide a written and signed trading authorization in advanced that allows the broker to buy and sell securities in the account in the broker’s discretion and without having to contact the customer every time they do so. However, even if you gave your broker written discretion to trade in your account, the authority cannot be misused by making unsuitable or inappropriate trades. This type of broker misconduct can lead to financial loss and your broker may be liable.

You can get more information on unauthorized trading and what you should do if you suspect your broker in engaging in misconduct by using our website. Call us any time at (800) 738-1960 for a free case evaluation.

The Meyer Wilson Way

Results-Focused Representation
  • More than $350,000,000 Recovered
  • Voted Best Lawyers in America┬« for Ten Years Running
  • David Meyer is President of Public Investors Advocate Bar Association (PIABA)
  • Over a Thousand Investor Claim Cases Since 1999
  • Exclusive Focus on Investor Claims & Class/Mass Action Lawsuits
  • Deep Bench of Skilled Attorneys and Staff Members

TRUSTED BY OVER 1,000 INVESTORS

Meyer Wilson has represented over 1,000 individual investors in high-stakes claims across the country, and has recovered over $350 million on their behalves. See what former clients have to say about our team.

  • “I primarily worked with Courtney Werning throughout the process and she was informative and knowledgeable. I trusted and fully recommend Courtney and her team.”

    - S.R.
  • “The communication throughout the process was on par - and they took the time to indulge me with the various questions and opinions.”

    - R.G.
  • “What I truly appreciated was getting a great result for my Mom with limited involvement/stress on her.”

    - S.W.
  • “We went to arbitration with the other respondent and I got to see firsthand the level of professionalism and expertise the Meyer Wilson firm can deliver.”

    - D.V.
  • “Chad would take the time to call and talk with me. His explanations were always clear and concise. I also appreciate all the effort put into the details and statistics required to argue this case.”

    - P.N.
  • “Meyer Wilson was able to produce the results that we felt were obvious and warranted while several other firms and even state offices simply had trouble understanding let alone moving the case forward.”

    - B.K.
  • “My overall experience was positive and I would encourage anyone who even thinks they have been a victim of stockbroker misconduct to call David.”

    - S.T.
  • “Meyer Wilson represented me in a suit brought last year against my brokerage firm, securing a very fair and equitable settlement for me.”

    - R.G., M.D.
  • “Right from the start, you had the passion and desire to win this case for us. I have never worked with an attorney or firm as compassionate as yours. I would highly recommend your firm to anyone.”

    - G.A.

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