HOUSTON, April 15, 2011 /PRNewswire/ -- A Financial Industry Regulatory Authority (FINRA) arbitration panel has largely rejected a $36 million claim by Wachovia Securities LLC after departures of its financial advisors and staff to Stifel Nicolaus & Co., Inc. in 2009.
After 30 days of hearings in Houston, the FINRA arbitrators on April 7 awarded Wachovia, now known as Wells Fargo Advisors, LLC, only $166,964, essentially rejecting allegations of raiding and unfair competition, among other claims.
Stifel Nicolaus & Co., Inc. is represented by attorneys Joseph A. Dougherty and Andrew J. Shapren, of Buchanan Ingersoll & Rooney, P.C., in Philadelphia, and Carolyn Roch Henneman of Schirrmeister Diaz-Arrastia Brem LLP, in Houston. The chairperson of the arbitration panel was Frank M. Romano.
Joseph A. Dougherty, of Buchanan Ingersoll & Rooney, P.C., stated, "We believe Chairperson Romano was correct about the Lifeboat defense. The financial advisors, under dire circumstances, chose to work at the firm that they believe best serves them and their clients. Stifel continues to believe that every person has that right."
Carolyn Roch Henneman, of Schirrmeister Diaz-Arrastia Brem LLP, stated, "I want to congratulate Stifel Nicolaus for being vindicated, once again, in arbitration. We believe the award speaks for itself: the arbitrators rejected virtually all of Wachovia's claims for damages."
The case is "Wachovia Securities, LLC vs. Stifel Nicolaus & Co., Inc.," FINRA Case 09-02124.
Contact: Carolyn Roch Henneman, Schirrmeister Diaz-Arrastia Brem LLP, 713.221.2500.
SOURCE Schirrmeister Diaz-Arrastia Brem LLP