Investment Fraud Attorneys - Representing Investors

Investment Fraud Attorneys – Representing Investors

An investment fraud attorney is a licensed attorney who represents investors in claims against financial professionals who engaged in misconduct. PIABA member attorneys handle these cases primarily through arbitration. Arbitration forums include FINRA, the principal dispute resolution forum for broker-dealers, AAA, and JAMS. Most investors choose to work with an investment fraud attorney because the arbitration process involves formal pleadings, discovery, and hearings that benefit from legal expertise.

Where Investment Fraud Claims Are Resolved

Investors harmed by financial misconduct have multiple legal options. Claims may proceed through arbitration (FINRA, AAA, JAMS, or others), state court, or federal court. The available forum often depends on the account agreement, the type of misconduct, and applicable law. An investment fraud attorney will evaluate your case and determine the best path forward for your specific circumstances.

The Role of an Investment Fraud Attorney

When investors suffer losses due to fraud or misconduct by financial professionals, the path to recovery often begins with understanding what an attorney can do. An investment fraud attorney investigates the conduct, identifies potential wrongdoing, and guides clients through the recovery process. This may involve negotiation, arbitration, or litigation, depending on the facts and applicable law.

Investment fraud takes many forms: unsuitable recommendations, unauthorized trades, breach of fiduciary duty, misrepresentation of risk, or outright theft. Wrongdoers may include broker-dealers, registered investment advisers, investment adviser representatives, selling agents, insurance agents, and unlicensed individuals. For broker-dealers, the standard is suitability. For registered investment advisers and representatives, the standard is fiduciary duty, a higher obligation of care. Holding wrongdoers accountable requires an attorney who understands these distinctions and the practical realities of the investment industry.

PIABA member attorneys specialize in representing individual investors in disputes with financial professionals. They bring deep expertise in securities law, arbitration, and litigation to recover losses and hold wrongdoers accountable.

Common Signs of Investment Fraud

Investors should watch for warning signs that may indicate misconduct. These include recommendations that don’t match your risk profile or financial goals, unauthorized trades in your account, pressure to move money quickly, and inadequate disclosures about fees or conflicts of interest. Wrongdoers are not always brokers. Over half of PIABA cases involve registered investment advisers or investment adviser representatives who breached their fiduciary duty. Other misconduct may come from selling agents, insurance agents, or unlicensed individuals offering investment advice.

If you notice anything unusual in your account or feel your adviser has not acted in your best interest, document it and consult an attorney promptly. Early consultation can protect your rights.

What Investors Should Know Before Filing a Claim

If you believe you have suffered losses due to investment fraud or misconduct, several steps matter. Timing is critical. Investors should consult an attorney as early as possible after discovering potential wrongdoing. Delays can affect your legal rights and remedies.

Your attorney will help you gather documents necessary for your case. This could include account statements, correspondence, and written agreements with your financial professional. Your attorney will evaluate the case to determine what law and legal theories apply. Each case is unique, and an attorney’s job is to assess the merits, explain your options, and pursue the best path forward.

Why PIABA Attorneys Matter

PIABA member attorneys are dedicated to representing individual investors, not the financial services industry. They bring deep expertise in securities litigation, arbitration, and investor remedies. PIABA attorneys will work to hold wrongdoers accountable and recover their clients’ investment losses.

If you believe you have been the victim of investment fraud or misconduct, a PIABA member attorney can review your case, identify the wrongdoing, and pursue the recovery you deserve.

Frequently Asked Questions

What is the difference between arbitration and court?

Arbitration is a private dispute resolution process before one or more arbitrators. Court litigation is the public court system. Both are available options depending on your agreement and circumstances. An attorney can explain which forum makes sense for your case.

How long does an investment fraud case take?

Case length varies widely. Arbitration may resolve in six months to two years. Court cases may take longer. Your attorney can give you realistic expectations based on your specific facts.

What damages can I recover?

An attorney will evaluate what damages may be available in your case. This depends on the type of misconduct, applicable law, and your specific losses. Consult an attorney for a case-specific assessment.

Can I recover my full losses?

Recovery depends on many factors, including the strength of your evidence, applicable law, and the respondent’s ability to pay. An attorney can assess your case and discuss realistic outcomes.

Is there a deadline to file a claim?

Yes, timing matters significantly. Different forums and legal theories have different deadlines. Consult an attorney promptly to protect your rights.

Next Steps

Investment fraud claims are time-sensitive and legally complex. The sooner you consult an attorney, the better. To find a PIABA member attorney in your area, visit piaba.org/find-an-attorney/.

For additional investor education and resources, visit the SEC at sec.gov, FINRA at finra.org, and the North American Securities Administrators Association at nasaa.org.

Hear what our members say about PIABA.

See how PIABA has helped protect others in investment disputes within the securities industry.

“The resources and networking opportunities provided by PIABA have been instrumental in my career development. When I was new to the practice, I was surrounded by mentors and friends who were always willing to help. Over the 12+ years I have been a member, PIABA has consistently been my most valuable support. As an experienced lawyer, PIABA offers leadership roles and opportunities to give back by mentoring the next generation of attorneys in this area. You won’t regret getting involved.”

Meyer Wilson Werning

Courtney M. Werning, Esq. | Principal

“I have been a PIABA member since the year of its founding in 1991. For 33 years PIABA has been an unparalleled source of information and ideas, and remains an integral part of my law practice. More important, I count many of its members as my friends. PIABA has greatly enriched my life, both professionally and socially.”

Leonard Steiner

STEINER & LIBO

“Piaba has been instrumental to the growth of my career. I have made lifelong friends and have attended every annual meeting for the last 15 years. The list-serve, the dedication of its members and its national reach is the gold standard for any bar association.”

Gana Weinstein

Adam J. Gana | Managing Partner

“PIABA is the greatest bar association I have had the privilege of being a part of. PIABA and its membership have been instrumental in my growth and development as a securities litigation attorney in representing and fighting for investors. As a member of PIABA you will find many attorneys across the country who are willing to help you from sharing practice tips to arguments. There is no organization doing more good for the investing public than PIABA.”

Michael C. Bixby

Bixby Law PLLC | Founder & Managing Attorney