Tag: Arbitration


NASD Defunct Firm Proposal

  The Securities and Exchange Commission has invited public comment on a rule proposal from NASD Dispute Resolution that would institute default arbitration procedures for non-responding defunct firms and terminated personnel. When the General Accounting Office disclosed in June 2000 (SAA 00-26) that many winning Claimants in arbitration do not […]


NASD Rule Change on Replacement Arbitrators

 NASD Rule Change on REplacement Arbitrators  Vacancies to be filled immediately, without a request from the parties. NASD RULE CHANGE ON REPLACEMENT ARBITRATORS Under a Rule proposal filed with the SEC last week, vacancies on Panels will be filled right away, without waiting for the parties to request a replacement […]

Arbitration Case Law

Arbitration Agreements and Enforcement

To Compel Arbitration, Must Prove Knowing Acceptance of the Agreement This time, merely proving that the agreement was signed was not enough. Braga v. VMR Capital Markets, No. B144584 (Cal. App., 2Dist., 2/13/02). Arbitration Agreement * Contractual Issues (Mutual Assent) * Waiver * State Law, Applicability of * FAA (Section2). […]


Damage Control

IN 12 OR SO YEARS OF REPRESENTING securities professionals in arbitrations, I have heard a near-constant refrain from my clients and other members of the financial community: The arbitration process is not fair. The general complaints are that arbitrators are biased in favor of customers, particularly those who are sympathetic; […]

Arbitration News

Court Upholds Prehearing Dismissal of Clearing Broker

“Clearing firms are generally not responsible to customers for the actions of an introducing broker” Warren v. Tacher, C.A. No. 3:99-CV-806-R (W.D. Ky., 6/2/00): We mentioned this recent ruling in this well-known arbitration case in last week’s Arbitration Alert (00-26). The Award under challenge in this proceeding constituted the largest […]

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Arbitration Brokers Investors

Liar, Liar?

Misrepresentation cases in securities arbitration By Mark J. Astarita, Esq. This is one of Mark’s original columns from September 1996 in Research Magazine. It has been updated since then, most recently in June of 2021. The reality is…not much has changed. Misrepresentation claims are one of the most common claims […]