Nuts and bolts: securities arbitration

Abstract

Purpose

To address the nuts and bolts of securities arbitration in the FINRA forum.

Design/methodology/approach

Provides introduction and background, defines key terms, and suggests ways to approach the major steps in the securities arbitration process, including witness interviews, document reviews, resolution of joint representation and conflict issues, determining the scope of attorney-client privilege, filing or reviewing the Statement of Claim, making the initial pleading, advocating for the most favorable arbitrator selection, possible employment of experts, and cross-examination.

Findings

To prepare thoroughly for a securities arbitration case and to plan a strategy for the key step of cross-examination, a lawyer needs to know the broad financial market context; the technical details of the relevant financial products, portfolio management strategies and transactions; the points of view of both the client and the opposing party; the details of all the documents introduced; and the background of the client’s and the adversary’s witnesses.

Originality/value

Expert guidance from experienced bank and broker-dealer litigation, arbitration and mediation lawyers.

Citation

Grannum, S.D. and Ginter, J. (2017), "Nuts and bolts: securities arbitration", Journal of Investment Compliance, Vol. 18 No. 4, pp. 1-7. https://doi.org/10.1108/JOIC-08-2017-0054