Thursday, March 5, 2020

$750,000 Burch v Huntleigh Securities Corporation Option Award.

In March 2020, a FINRA arbitration panel in St. Louis, MO ordered Huntleigh Securities Corporation to pay the Claimant $750,000 including $200,000 in punitive damages and $250,000 in attorney's fees. You can read the award here. Dr. McCann testified that the securities portfolio was poorly diversified and the heavy use of short call options in the portfolio substantially increased the risk beyond what was appropriate for the Claimant.