Filings Up, Staffing Increases Proposed, NASD-DR to Relocate? According to representatives of the two forums, new filings are up and are staying up. At the New York Stock Exchange, they surged 41% during 2001 and were especially high in the final quarter of the year. That increased level of activity […]
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Does My Arbitration Agreement Cover All Disputes?
Court applies standard analysis to determine coverage of agreement Raspet v. Buck, 2001 N.C. App. LEXIS 1055 (N.C. App., 11/6/01): Pre-existing agreement to arbitrate does not convert disputes over all future dealings between the parties into arbitrable controversies. Operating individually as investment representatives, plaintiff and defendant created Plan First, LLC, […]
Dispute Resolution Continued Criticism
NASD-DR Continues to react to criticism of its expertise ranking system NASD-DR continues to react to criticism of its expertise rankings for arbitrators by directing its arbitrators to explain the basis for any claims to expertise. The Neutral List Selection System was designed to operate on a rotational basis, so […]
Can A Defunct Firm Enforce An Arbitration Agreement?
Defunct firms can no longer enforce arbitration agreements Among the initiatives NASD has taken in response to the GAO’s 2000 Report on unpaid Awards is a new rule closing its arbitration forum to defunct members. The new rule, an amendment to NASD Rule 10301, was approved by the SEC in […]
Arbitration Briefs – Procedure Fault is Grounds for Appeal
Failure to Follow Procedure May Be Grounds for Vacatur But only if the moving party preserved its objections during the arbitration process BROOK v. PEAK INTL., No. 01-50339 (5th Cir.., 6/13/02). The underlying arbitration, which Mr. Brook lost, concerned an employment dispute over severance benefits. The Employment Agreement between the […]
Removing a Sitting Arbitrator
Proposals for Removal of Arbitrators Contemplated ARBITRATOR REMOVAL: What do you do when an Arbitrator on your Panel has a clear conflict and all routes to remove him/her have proved fruitless? Under the current SRO Rules (e.g., NYSE Rule 610), the Director of Arbitration “may remove an arbitrator based […]
Solomon Smith Barney Reps Lose CAP Request
Archives Whose Money Is It Anyway? Solly Smith Barney Reps Lose CAP Request By Rick Weinberg Several former Salomon Smith Barney brokers seeking the authorization to start a national class action suit against the firm’s Capital Accumulation Plan (CAP) had their request rejected by a federal judge in Boston, according […]
Merrill’s Gorman on Client Ownership, Priorities, Broker Pay
Who Owns the client…the brokerage firm or the broker? October 11, 2001 Merrill Lynch retail chief James Gorman says the numbers answer that question quite clearly. “The experience is that when brokers leave they take 65% of their book,” Gorman told RR at a gathering of reporters in the firm’s […]
Analyst Disclosure Issues
Analyst Disclosure Issue Would Snag Brokers New NASD Proposal will require more disclosures by retail brokers. The war on analysts is now threatening brokers. In proposing heightened disclosures from analysts, the NASDR has included retail brokers as well. The July proposal, NASD Notice to Members 01-45, broadens disclosure obligations for […]
Analyst Disclosure Issue Would Snag Brokers
New NASD Proposal will require more disclosures by retail brokers. The war on analysts is now threatening brokers. In proposing heightened disclosures from analysts, the NASDR has included retail brokers as well. The July proposal, NASD Notice to Members 01-45, broadens disclosure obligations for public appearances by analysts and brokers […]
