Banks, brokers, and other institutions in the financial services industry are experiencing an unprecedented level of scrutiny. Whether trying to comply with increasingly onerous regulations or seeking to successfully navigate government investigation, simply doing business is a minefield. Investors faced with complex investment options often have little choice but to rely on the recommendations and planning provided by investment professionals—reliance that is occasionally misplaced or induced by fraud. Preti Flaherty’s Financial Industry Litigation & Arbitration practice group offers vital representation in financial services disputes, securities litigation, and arbitration. Our trial lawyers represent investors, financial advisors, broker-dealers, registered investment advisors, banks, and other financial institutions on regulatory matters, litigation, arbitration, and compliance counseling.

Capitalizing on Experience

Our experience includes the full gamut of claims and a broad range of investments. We have handled claims of unsuitable investment recommendations, breach of fiduciary duty, churning, unauthorized trading, failure to supervise, elder abuse, negligence, and securities fraud.

Our track record in securities disputes speaks for itself:

  • Jury award of $7.5 million against national bank for failure to provide financial and investment advice to client, Fleet National Bank v. Mayeux, Docket No. CV-03-247
  • Settlement involving financial advisor’s abuse of power of attorney from a cognitively impaired senior investor
  • Award at arbitration for financial advisor’s unsuitable recommendation to mortgage the investor’s home to buy speculative stocks, Gregoire v. Morgan Stanley DW, Inc., NASD-DR No. 04-06425
  • Restitution from an insurance company for unsuitable sale of deferred equity indexed annuity to an elderly widow with few assets
  • Award at arbitration for unauthorized trading and weak data security procedures when investor’s family member gained online access to investor’s retirement account, Landry vs. Fidelity Brokerage Services LLC Co., FINRA Case ID 13-00523
  • Settlement involving insurance agent having induced an senior investor with dementia, to surrender high yield annuities to buy whole life insurance causing capital gains tax liability and income loss
  • Settlement involving brokerage firm responsible for recommending penny stocks and other speculative investments to senior investor
  • Award at arbitration in eight figure securities fraud claim against seller of substantial manufacturing company, Kingspan Holdings US, Inc. v. Daniel R. Baker et al., American Arbitration Association, Case No. 50 T 168 00487 1

Comprehensive Advocacy

We provide sophisticated counsel on a broad array of investment scenarios, including stocks, options, mutual funds, bonds, complex structured products, annuities, life insurance, REITs, private placements, variable life insurance, and variable annuities. We  also assist financial institutions with regulatory investigations and enforcement actions involving state regulators in Maine and New Hampshire.

Any highly regulated industry face challenges. But challenges should not be obstacles to success. They should be opportunities for creative strategy and action that results in long-term returns. Our attorneys know how to turn adversity into advantage. With a mix of diverse experience and innovative tactics, we have built our reputation on delivering for our clients, helping them to leverage every challenge into a chance to prosper.

Firm Highlights

Press Coverage

Sabattus Family's Bat Woes Prompt Bill To Force Real Estate Pest Disclosure

Publication

The Role of the Additional Insured

Insurance is an important and effective tool for reducing and allocating risks. However, insurance terms can be confusing which may lead to a misunderstanding of a policy's protections, particularly when dealing with "named insureds,"...

Event

From Augusta: A Legislative Update for HR Professionals

On March 13, 2020, Maine Senate President Troy Jackson and Speaker of the House Sara Gideon issued a joint statement to the 129th Maine Legislature signifying their intention to suspend the remainder of the...

News

Racial Justice Fund Seeks Applications for Inaugural Round of Grants

The Maine Justice Foundation is pleased to announce the inaugural grant cycle for its Racial Justice Fund. The Foundation will accept applications for grants of up to $10,000 until the deadline on Wednesday, March...

Press Coverage

Maine Newspapers Challenge Rule Concealing Electronic Court Records

A Maine court committee in December established a 90-day blackout period rule on public access to newly filed electronic court records, a move which has been challenged by Maine's newspapers as a violation of the First Amendment. Paper...

Publication

Answering Employer COVID-19 Vaccination Questions

As COVID-19 vaccines become more readily available, employers are faced with big questions. Can we mandate vaccines for employees ? How do we manage a return to work ? Preti Flaherty's Peter Callaghan breaks...

Publication

Maine Workers' Comp Alert: Updates from the WCB February Monthly Business Meeting

The WCB met remotely on February 9, 2021, for its monthly business meeting. Following are some developments with respect to an appeal accepted by the Maine Supreme Court and claims related to Covid-19. COVID-Coded...

Event

Understanding and Navigating the She-cession

New employment data shows that women are 1.8 times more likely to have left or lost their job due to COVID-19. Between remote schooling, daycare closures, and lost support systems, women have been forced...

News

Preti Flaherty Partnership Announces Promotion of Moppin, Rideout, White to Partner

Preti Flaherty is pleased to announce that the firm’s partnership has named three new partners: Sara N. Moppin, Laura A. Rideout, and Emily T. White.  Each attorney stands out as a distinguished practitioner within...

Event

From Concord: A Legislative Update for HR Professionals

As the COVID-19 pandemic continues, all legislative activities in the state of New Hampshire, with a couple of exceptions, will be handled remotely. Several employment-related bills will be considered and voted on during this...