Securities Arbitration and Securities Litigation: How do I know if I need them? (Part 4)

Last time, in my blog about securities litigation, we discussed some information about securities mediation. Today, this Tampa lawyer and certified arbitrator would like to give some more details about securities arbitration and help see if the arbitration process may be right for you.

Now that you’ve tried other dispute resolution techniques, it’s time to decide whether you want to file a claim to arbitrate. Securities arbitration may not be the best and most appropriate option for you. It really depends on your situation and objectives. If you choose to use, or are required by your agreement to use securities arbitration as opposed to civil litigation (a lawsuit), you should seriously consider hiring a Tampa lawyer for instruction and advice. Remember, the brokerage firm will most likely have a team of lawyers for consultation, so having a Tampa lawyer in your ball court will really help level the playing field.

Arbitrators like me, in general, do not have to be Tampa lawyers. They can be from any and all walks of life. They have been trained and approved, and act as arbitrators when selected to hear a case. Some arbitrators work in securities, but they could be doctors or homemakers or professional businessmen. The most important things about an arbitrator are that they be completely impartial and knowledgeable about the area of the dispute in your securities arbitration. A potential arbitrator will submit a personal profile to FINRA (the Financial Industry Regulatory Authority) detailing their knowledge of the securities industry and the concerns of an investor. If the securities arbitrator is accepted, their names go into a pool to be selected for any case matching their background. Arbitrators do not work for FINRA. They receive an honorarium from FINRA to recognize their service.

When deciding whether or not to file a securities arbitration claim, there is one factor that is vitally important to consider, up front. If your broker or brokerage firm goes out of business or files bankruptcy, you may not be able to recover your losses, even if the arbitrator or court rules in your favor. Over 80% of all unpaid awards involve a firm or individual that is no longer in business. That is why it is so important to investigate the disciplinary history of the broker and the firm you are considering investing with. I will write more on that investigation in future blogs so, stay tuned!

Please, if you are not getting anywhere with resolving securities issues on your own, call S. David Anton of Anton Legal Group!

S. David Anton, Esquire is a Certified Arbitrator for the Financial Industry Regulatory Authority (FINRA), formerly the NASD, which is the national organization responsible for overseeing the securities industry. He has served as a Judge/Panelist and rendered decisions in many securities arbitration, giving him a unique perspective on his client’s cases.

FOR SECURITIES ADVICE, PLEASE FEEL FREE TO CONTACT DAVID ANTON OF THE ANTON LEGAL GROUP AT (813) 443-5249.