For this case to unravel the way it did required that the Claimants pursue both the brokers and the firm as Respondents. That’s not terribly common in FINRA arbitration,
FINRA has issued a Regulatory Notice seeking comments on Rule changes aimed at better protecting investors from firms with significant regulatory histories. Arbitration is prominently mentioned throughout.
New case submissions by customers are down 29% from the first quarter’s tally for 2018 and industry cases have declined 27%. Overall, 830 new cases were filed in the first quarter;