Brokerage Firm Disputes

The modern securities industry is complex, varied, lucrative, and very highly regulated because it is so integral to our economy. It is also, not surprisingly, the source of many disputes both between industry members and the investing public, and between members of the industry. While most of the publicity about disputes in the industry focuses on claims by investors against an industry members, a considerable number involve disputes between brokerage firms, between brokers and brokerage firms, and by regulatory bodies and both brokers and brokerage firms.


The rules of the Financial Industry Regulatory Authority (FINRA) require arbitration for adjudicating the vast majority of internal securities industry disputes. Arbitration at FINRA is mandatory for disputes which:

Even without an arbitration agreements disputes between or among members and associated persons can be arbitrated at FINRA as long as the case is filed no more than 6 years from the date from which the claims arise.

Disputes between Brokerage Firms

There are three basic types of disputes between brokerage firms:

Disputes between Brokers

Individual brokers interact in many ways, and any interaction in a field that handles huge sums of money can lead to disputes. These may involve:

Disputes between Brokers and their Employing Firms

The nature of the relationship between brokers and the firms for whom they work generates disputes over many, many things. Among the most common subjects of disputes are:

Disputes Related to Regulatory Filings

Regulatory bodies control the very right of the participants in the investment field to pursue their livelihood, and collect considerable information from and about these participants. The Financial Industry Regulatory Authority (FINRA) in particular plays a major role in determining who may work in the field, as well as collecting information for themselves and the various state regulatory agencies about each participant, some of which is available to the public once collected through FINRA BrokerCheck.

The importance of such stored information on the hiring and registration process cannot be overstated.The potential for information to be erroneous or incomplete, gives rise to a great many disputes. Two of the most common disputes concern:

Get Targeted Legal Help in Palm Beach County

Whatever the investment industry dispute you face, you know the case is likely to be difficult and probably contested vigorously by the other side. Getting an experienced Florida securities lawyer involved early offers the best opportunity to achieve a quick and satisfactory resolution of the dispute.

Whatever the dispute, and whatever your role in the industry, Boca Raton, Florida, securities attorney Todd A. Zuckerbrod can help. He has experience as a regulator for the New York Stock Exchange, as in-house counsel with Merrill Lynch, as outside counsel with the law firm of Greenberg Traurig, as the general counsel of a brokerage firm and in private practice securities lawyer in Florida.

Call Todd A. Zuckerbrod for a free initial consultation. He can start by figuring out whether you have to arbitrate at FINRA, whether it would be in your interest to do so regardless of whether it’s mandatory, and, most importantly of all, whether a settlement is feasible before the dispute begins eating up your time and money. Statutory time restrictions apply, so call now.