Securing compensation after sustaining significant losses to your investment caused by investment fraud or negligence can prove critical. In most cases, you will need to pursue the money you lost through FINRA arbitration. A FINRA arbitration lawyer in Illinois can help you through the process and give you the best chance of recovering the money you need.
At Meyer Wilson, our experienced legal team understands the difficulties a large loss in your investments can create. Our Illinois investment fraud lawyers have over 75 years of experience in investment fraud cases, which we will use to your advantage. Get in touch with us by phone or through our website to schedule your free case evaluation today.
Resolving Investment Disputes Through FINRA Arbitration
Financial Industry Regulatory Authority (FINRA) arbitration is the form of alternative dispute resolution most commonly used to resolve investment disputes between investors and their financial advisors and brokerage firms.
FINRA is a not-for-profit organization authorized by the United States government to regulate the financial industry, ensuring that financial professionals conduct themselves in a legal and ethical manner to protect investors and maintain a fair marketplace.
Most of the time, when a dispute arises between an investor and their financial advisor or brokerage firm, FINRA arbitration is the only available option for resolving the conflict. At Meyer Wilson, we will handle every aspect of your legal case. We have experience with all kinds of investment misconduct cases, including:
- Broker negligence
- Failure to supervise
- Breach of fiduciary duty
- Unauthorized trading
- Asset allocation misconduct
This list is far from exhaustive. We can help you pursue compensation after suffering damages as a result of any financial offense. When attempting to recover compensation, you will likely need to file a FINRA arbitration claim rather than take your case to court. Most of the time, arbitration provides a quicker and cheaper way to settle your dispute than a trial would.
Pursuing damages through a FINRA arbitration claim may be simpler than going to court, but it is not without challenges. Fortunately, an experienced FINRA arbitration lawyer in Illinois will be familiar with all the specific details of the arbitration process and will be able to help you every step of the way.
Hiring an experienced lawyer can be critical when suing your financial advisor or brokerage firm. Brokerage firms tend to have high-priced lawyers on retainer. Securing the services of an attorney from our firm will level the playing field.
Nearly All Investment and Securities Disputes Are Resolved Through FINRA Arbitration
When you invest money with a financial advisor or brokerage firm, you will sign an investment agreement regarding how your money will be handled and the rights and responsibilities of both parties. This contract will likely contain a clause stipulating that any potential disputes that may arise will need to go through FINRA arbitration.
Brokerage firms prefer handling things through FINRA arbitration for a variety of reasons. However, the most appealing aspect of this form of dispute resolution is that it provides discretion. The only document typically released to the public from FINRA arbitration proceedings is the final award.
An Experienced FINRA Arbitration Attorney in Illinois Will Guide You Through the Entire Arbitration Process
FINRA’s Code of Arbitration Procedure sets the rules and procedures that must be followed in arbitration. Additionally, this code goes over the types of cases that need to be resolved through FINRA arbitration and the types of cases that should be settled in another manner.
Filing Your FINRA Arbitration Claim
Submitting a statement of claim to FINRA will begin the arbitration process. Your statement of claim is the most important document in your case as it will serve as the first impression the arbitrator or arbitration panel will have of your case.
This document should provide a clear picture of your case, including the damages you sustained and how your financial advisor or brokerage firm is responsible.
FINRA Arbitration Hearings
The amount of money you seek to recover will play a large role in determining the proceedings for your FINRA arbitration case. If you seek less than $50,000 in damages, your case will be decided by a single arbitrator after they review your statement of claim and the response from the other party without holding a hearing.
For a claim of $50,000 to $100,000, a single arbitrator is still common. However, a hearing will be held where both sides will be given the opportunity to present evidence and call witnesses. For claims exceeding $100,000, a three-arbitrator panel will rule on your case after a hearing, with a majority vote deciding the outcome.
After filing your statement of claim, you will likely have to wait 12 to 16 months for your case to be finalized. While you wait for FINRA to schedule a date for your arbitration hearing, your attorney will be busy building your case. The length of time for your arbitration hearing will likely be three to five days. However, hearing can sometimes take weeks in complicated cases.
FINRA Arbitration Rulings
FINRA arbitration rulings are legally binding, and, in most cases, neither party will be able to appeal the ruling. Once a decision has been reached in your case, FINRA will issue the final award document for your case containing the following information:
- The names of the parties involved
- Descriptions of all claims and the defenses used
- Which party won each claim
- The amount of money awarded in damages or an order of dismissal for all claims
If you succeed in winning your claim, your brokerage firm or financial advisor will be required to pay you the damages you are owed within 30 days. Should they fail to pay on time, your lawyer will file a petition against them to have their brokerage license suspended. Your attorney will then seek the money you are owed through garnishment proceedings or an attachment levy.
Work With a FINRA Arbitration Attorney Serving Illinois Today
After losing money as a result of securities or investment fraud, hiring an experienced Illinois FINRA arbitration attorney will significantly improve your chances of recovering the money you need and deserve. At Meyer Wilson, our award-winning team has recovered more than $350 million for those we represent.
Contact us by completing our online contact form or giving us a call and schedule your free initial case consultation with a member of our legal team.