Central Florida Securities and Investment Losses Attorneys
Stockbrokers, brokerage firms, investment advisers and other financial professionals have a responsibility to provide clients with appropriate and honest financial advice. When clients suffer losses as a result of inappropriate or dishonest financial advice, investors may hold them liable to recover those losses through litigation or arbitration.

There are many ways in which financial professionals and stockbrokers can take advantage of investors and these professionals may be liable to compensate investors for losses that are incurred as a result of any inappropriate or fraudulent behavior.

Lanigan and Lanigan, P.L., represent investors in securities litigation and arbitration including cases involving:

• Fraud and misrepresentation of information: Investors may have been overpromised unrealistic results on returns through misrepresentation or omissions leading them to believe fraudulently that more could be made and received by a financial professional.
• Negligent advice on unsuitable investments: A broker can receive significant revenue from the sale of annuities and other financial products but to the detriment of usually a senior investor. Certain products are not considered suitable and should not be suggested to elder investors.
• Improper executions: A brokers’ failure to honor investors’ orders because there is financial gain by the broker by not doing so.
• Unauthorized trades: When a broker completes transactions prior to or without first getting written authorization as required by securities regulations.
• Failure to carry out trade instruction: It’s a broker’s legal duty to do what is asked by the investor. However if a trader directs a broker to buy or sell a product but it is not done, the broker will be found in violation of their duties to the investor.
• Churning: This is done by brokers trying to earn more money on fees paid by investors for transactions. The transactions are made irresponsibly or unnecessarily.
• Selling away: Selling securities, inappropriately soliciting, or completing transactions that a broker is not licensed to complete usually for financial gain coming from not having to split commission or wanting to take an investment from an investing client so that another broker will not gain financially.
• Unregistered securities: Selling a financial product before it is registered with the Securities and Exchange Commission is illegal. Stocks, for example, must have an effective registration statement on file with the SEC or state attorney general to be registered. Brokers who sell without the registration fraudulently sell to investors who naturally assume that if it’s being offered that it is a legal transaction.
• Unethical “boiler room” sales practices: High pressure sales tactics used to urge investors into unrealistic commitments whether over the phone or in-person. It includes the illegal sales of worthless stock, investment in companies on the verge of bankruptcy or which have no value.
• Ponzi and pyramid schemes: Fraudulent investments that pays returns to investors from the investment capital or funds invested by future additional investors. There is generally a great overpromise of money and massive expected returns offered by someone who may be trusted or well-known within a community. For a small initial investment, participants are lied to about profit that will never occur. It sounds so convincing that volumes of individuals and groups are relied upon for the revenue which eventually runs out. Early investors are well paid or rewarded in the hopes of attracting even more future investors. The later investors are left without any means by which to recover original investment funds or promised gains.

If you feel that you have suffered losses as the result of the actions of your stockbroker or other financial professional, contact Lanigan & Lanigan, P.L. to discuss options for resolution.

Securities Arbitration
There is little possibility of trying a case involving investors and stockbroker responsibility and liability through litigation. Most major brokerage houses write arbitration clauses into their agreements that require that any disputes are resolved through an arbitration process.

In arbitration, the case is not tried before a judge, but instead is brought before three arbitrators who will make a decision about the case.

While litigation is, at times, preferable to arbitration, Lanigan & Lanigan, P.L., have more than 20 years’ experience in representing individuals in cases involving arbitration. Contact them to find out what to do in your situation.