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

Authorities Refuse to Release Records for Maine School Shooter Hoax Calls

On November 15, 2022, multiple law enforcement agencies in Maine received false calls alerting police to active shooter situations at several high schools throughout the state. In the wake of this widespread hoax, the Kennebec...

News

Maine Justice Foundation Opens Applications for the 2023 Access to Justice Tax Credit

The Maine Justice Foundation is pleased to announce that applications for the 2023 Access to Justice Tax Credit Program will open on June 1, 2023. The Foundation will accept applications from eligible attorneys from...

Publication

H-2B Visa Program Summary

The H-2B classification allows foreign nationals who are citizens of certain named countries, with limited exceptions, to accept temporary non-agricultural employment in the United States, after the employer has obtained temporary labor certification by...

Press Coverage

Oxford Police Chief: Officer Tried to De-escalate Pursuit Before Fatal Crash

Officials from the Cumberland County Sheriff's Office have refused to provide documentation of the department's policy on police chases following the fatal high-speed crash of Nicholas Liebowitz in Gray, Maine, on Friday, April 28, 2023. Chief...

News

Maine Justice Foundation LGBTQ+ Fund Seeks Applications for 2023 Grants

The Maine Justice Foundation is pleased to announce a round of grants from the LGBTQ+ Fund. The Foundation will accept applications for grants from organizations working to advance awareness and understanding of LGBTQ+ issues...

Publication

Post Sackett: What Is the Scope of the Clean Water Act?

The Supreme Court of the United States (SCOTUS) rendered a decision in Sackett et ux. v. EPA addressing what Justice Alito referred to as a “nagging question” of what water bodies are covered under...

Publication

Municipal Update: Effect of Recent Supreme Court Decision on Sale of Tax Foreclosed Properties

Yesterday, the United States Supreme Court issued its opinion in  Tyler v. Hennepin County, Minnesota  (598 U.S. _____ (2023)). The Supreme Court held that Hennepin County had violated the Fifth Amendment’s takings clause by...

News

14 Preti Flaherty Attorneys Selected as Chambers USA Leaders in Their Field

Fourteen Preti Flaherty attorneys and six practice groups have been selected for inclusion in the 2023 Chambers USA Guide to America's Leading Lawyers for Business , the highly regarded directory of leading attorneys and...

Event

Bodie Colwell joins ethics panel at the Northeast Bankruptcy Conference & Northeast Consumer Forum

An annual conference, this year's Northeast Bankruptcy Conference and Consumer Forum will focus on sophisticated financial scenarios practitioners often face and provide insights on current consumer bankruptcy issues. Preti Flaherty's Bodie Colwell is a...

Publication

Bankruptcy Court Injects Uncertainty in Municipal Tax Foreclosures

Last October, the U.S. Bankruptcy Court for the District of Maine issued a ruling of concern for municipalities. The case ( In re Riendeau , 645 B.R. 321 [Bankr. Me. 2022] ) established that...