FINRA Grants Respondents’ Motions for Sanctions Against Claimant and Broker’s Request for Expungement

The claimant asserted causes of action including failure to supervise, breach of fiduciary duty, respondeat superior, unsuitability, breach of contract, and violations of the Alabama Securities Act related to the purchase and alleged misrepresentation of municipal bonds in the claimant’s account. Based on testimony from both parties, the FINRA Panel found that Humber did nothing wrong, and that unforeseen events in the market caused the claimant’s investment to lose principal. In addition, the Panel granted both of the respondents’ motions for sanctions against the claimant and Humber’s request for expungement. 

_{Case Law Alerts, 2nd Quarter, April 2024 is prepared by Marshall Dennehey to provide information on recent developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. Copyright © 2024 Marshall Dennehey, all rights reserved. This article may not be reprinted without the express written permission of our firm.}