Recovering damage after suffering financial losses caused by investment fraud or negligence can be essential. In the majority of cases, you will need to file a FINRA arbitration claim to recover the money you need. An experienced FINRA arbitration lawyer in New Jersey can help you through every step of the process and set you up to recover the money you deserve.
At Meyer Wilson, our experienced legal team knows the challenges a loss of investment can create. Our New Jersey investment fraud lawyers will use their more than 75 years of experience to help you recover compensation from the liable party. Reach out to us today to set up a free case consultation with a member of our team.
FINRA Arbitration for Resolving Investment Disputes
Financial Industry Regulatory Authority (FINRA) arbitration is the most common form of alternative dispute resolution used in investment dispute cases. FINRA is a not-for-profit organization with authorization from the U.S. government to regulate the financial industry, ensuring brokerage firms act legally and ethically and protect a fair marketplace.
In the majority of cases, when a dispute arises between an investor and their brokerage firm or financial advisor, FINRA arbitration is going to be the only option for addressing the conflict. At Meyer Wilson, we can handle all the legal aspects of your case. We can help you pursue damages after suffering losses from a wide range of financial misconduct, including:
- Broker negligence
- Failure to supervise
- Breach of fiduciary duty
- Unauthorized trading
- Asset allocation misconduct
The above list is not exhaustive. There are many other offenses that can occur for which we can help you pursue damages. Rather than take your case to court, you will likely need to file a FINRA arbitration claim and present your case at an arbitration hearing. In the majority of cases, arbitration offers a quicker and cheaper way to settle your dispute than through a trial.
Attempting to recover damages through a FINRA arbitration claim comes with challenges. Fortunately, an experienced lawyer can help guide you through the arbitration process and put you in a good position to recover the money you need.
Although arbitration is a simpler process than a courtroom trial, there are still many intricacies in the process that can present challenges if unfamiliar with the specifics. Hiring an experienced FINRA arbitration attorney serving New Jersey can prove critical if you sue your financial advisor or brokerage firm, especially because you can be sure they will hire a high-priced legal team.
An Experienced FINRA Arbitration Attorney Serving New Jersey Can Help You With Every Stage of the Process
FINRA lays out the rules and procedures for the arbitration process in its Code of Arbitration Procedure. Beyond stating the rules for the arbitration process, this code also addresses what types of cases should go through FINRA arbitration and under what circumstances another dispute resolution method should be used.
Filing a FINRA Arbitration Claim
Filing a statement of claim will start the FINRA arbitration process. Your statement of claim serves as the first impression of your case to the arbitrator or arbitration panel presiding over your case. Because of this, it is the most important document that will be used in your case.
In this document, you should provide the arbitrator with a clear picture of your case, along with addressing the damages you suffered and showing how your brokerage firm or financial advisor is liable.
An experienced attorney will draft your statement of claim for you, ensuring it includes all the necessary information needed to present a strong case. All FINRA claims must be paid online and should be submitted along with a filing fee. After you file, the opposing party will have 45 days to submit their written response to FINRA.
FINRA Arbitration Hearings
The specifics of your FINRA arbitration proceedings will depend on how much money you are attempting to recover. For claims under $50,000, a single arbitrator will rule on your case, based solely on your statement of claim and the written response they receive, without a hearing.
For claims of $50,000 to $100,000, a single arbitrator is still the most common. However, in these cases, a hearing will take place. In this hearing, both sides will present evidence, and witnesses will give sworn testimony. In claims in excess of $100,000, a three-arbitrator panel will preside over the hearing, and they will make their ruling based on a majority vote.
After submitting your statement of claim, it will likely be between 12 and 16 months until a ruling is made in your case. As you wait for FINRA to schedule your arbitration hearing, your lawyer will work to build a strong case on your behalf. The length of time for the arbitration hearing is typically three to five days. However, hearings can last weeks in complex cases.
FINRA Arbitration Rulings
All FINRA arbitration rulings are legally binding. Furthermore, most of the time, the decisions of the arbitrator panel can not be appealed. After a ruling has been made, FINRA will issue a final award document with the following information:
- The names of all involved parties
- Descriptions of the claims and the defenses used
- Which party won each claim
- The amount awarded in damages or an order of dismissal of all claims
If you end up winning your claim, your financial advisor or brokerage firm must pay your damages within 30 days. If they don’t pay in time, your attorney will submit a petition to have their brokerage license suspended. Your lawyer will then proceed to get you the money you are owed through an attachment levy or garnishment proceedings.
FINRA Arbitration Is Used in Nearly All Securities and Investment Disputes
When you invest your money with a financial advisor or brokerage firm, you will need to sign an investment agreement. This contract will likely include a clause regarding dispute resolution, where it will state that any disputes that may arise will need to be resolved using FINRA arbitration.
FINRA arbitration is the top method of conflict resolution for brokerage firms for several reasons. However, the primary appeal of arbitration is usually the discretion that proceedings provide. FINRA hearings are private, and the final award is usually the only document released to the public.
Get Help From a FINRA Arbitration Attorney in New Jersey Today
After suffering significant losses caused by investment and securities fraud, hiring an experienced New Jersey FINRA arbitration attorney is the best way to put yourself in a position to recover the money you lost. At Meyer Wilson, our award-winning team has secured S350 million in damages for our clients since we opened our doors.
Contact us by phone or through our website today to set up your free initial case review.
