FINRA Finds Investor Suit Against Unrelated Brokerage Firm "Frivolous"

Thursday, March 01, 2012 13:21
FINRA Finds Investor Suit Against Unrelated Brokerage Firm


Investor claims against their advisors have reached the point where some will sue to be made whole simply because their portfolio's value declined. But one recent FINRA case went the other way.

This Website Is For Financial Professionals Only


FINRA not only dismissed claims brought by Dr. Karl Vogelbach and his son Andrew that Los Angeles brokerage firm Quincy Cass did the wrong thing, but charged the plaintiffs the legal fees.


Details are sparse, but FINRA seems to have taken pride in pointing out that the elder Vogelbach was a sophisticated and aggressive investor who placed his own bets on the market and lost.


The younger Vogelbach was not even a Quincy Cass client so the firm's lawyers were especially mystified to hear his claims.


He may be the same "Andrew Vogelbach" who practices estate and family law in Pasadena so it's possible that there was an inheritance issue on the table.


In any event, FINRA ordered them to pay $75,000 of Quincy Cass's costs as well as 85% of the forum fees.


The case will be removed from the record of the broker in question, so this is a good test of how fast BrokerCheck is to respond to these changes.


Comments (0)

Write comment

You must be logged in to post a comment. Please register if you do not have an account yet.