The Financial Industry Regulatory Authority (FINRA) is a financial industry self-regulating body that is tasked with resolving and arbitrating disputes that arise between investors and their brokers concerning misguided advisement and fraudulent investments. Investors that believe that their broker or financial advisor misguided them or took advantage of them can file a claim and go through the FINRA arbitration process.
No investor should try and undertake the FINRA arbitration process without proper legal representation. While the FINRA arbitration process is less complicated than bringing a case before the courts, you can bet your bottom dollar that the brokerage firm of financial institution that you have a dispute with will have an experienced securities lawyer on their side of the arbitration, and you should come to the table equally equipped with your own experienced securities arbitration lawyer.
In addition to placing you on equal footing with the brokerage firm, your securities arbitration lawyer will know the FINRA arbitration procedure, what additional paperwork will need to be filed with your Statement of Claim, and how to best prepare your case for a successful resolution. Our experienced securities arbitration attorneys have handled numerous FINRA arbitrations for clients who have been victimized and defrauded by brokering agents and financial advisors. We know what it takes to get you the best outcome in your FINRA arbitration procedure.
The FINRA Arbitration Process
Filing for FINRA arbitration can be complicated. Much of FINRA arbitration follows a format similar to filing a claim in court. Having a securities arbitration lawyer to guide you through the process will substantially increase the likelihood of a successful resolution to your dispute.
- To bring an arbitration claim before the FINRA, the claimant must submit a Statement of Claim, Submission Agreement and any other documentation that supports the investor’s claim. The claim must be brought within 6 years of the alleged losses or financial harm, and often takes as long as a year to be fully arbitrated.
- Upon filing the Statement of Claim, the claim will be served on the other parties involved in the dispute, and these parties will have 45 days in which to prepare their response, which can include their own claims, defenses or allegations that additional parties should also be involved in the arbitration of the dispute.
- Discovery gets underway and the fact finding part of the arbitration process an attempt to hold a mediation session between the parties to the dispute is arranged and held.
- Next, if settlement is not possible, an arbitration hearing is conducted, where evidence is presented and testimony is heard.
- The parties entering into the arbitration agree to be bound by the decision of the arbitrator. The arbitrator is an independent third party, who acts as a judge over the dispute, and his or her decision is final. At the conclusion of the arbitration process, a decision is made, and an award, or judgement is issued.
When You Need A Securities Arbitration Lawyer
If you believe that you have been defrauded or misguided by your securities broker, contact us. We can review your claim, and help you decided if FINRA arbitration is right for you. Our experienced securities arbitration lawyers are familiar with the FINRA arbitration proceedings and can help you identify and address any potential pitfalls at the outset of your case.