Did Dawson James Securities Cause You Investment Losses?
Dawson James Securities of Boca Raton, Florida submitted a Letter of Acceptance, Waiver and Consent to the Financial Industry Regulatory Authority in which they were fined $20,000 and ordered to pay $7,083.93, plus interest, in restitution. The sanctions were based on findings that Dawson James charged customers excessive commissions in violation of FINRA Rules 2121 and 2010.
Dawson James has been a member of FINRA since 2004 and currently employs approximately 40 registered representatives. According to FINRA’s findings, from June 2015 through April 2020, Dawson James allegedly charged customers $7,083.93 of commissions on a total of 236 transactions. The findings state that the commissions charged were unreasonable and excessive considering that they ranged from approximately five percent to 66 percent of the transactions’ principal value. In addition, FINRA states that if a member acts as an agent for his customer, the member shall not charge his customers more than a fair commission or service charge, taking into consideration all relevant circumstances.
FINRA Rule 2010 requires that “[a] member, in the conduct of its business, shall observe high standards of commercial honor and just and equitable principles of trade.” A violation of FINRA Rule 2121 constitutes a violation of FINRA Rule 2010. FINRA Rule 2121 Supplementary Material .01 set a guideline of five percent for determining whether a commission is unfair or unreasonable. However, the “5% Policy” is a guide, not a rule. A commission pattern of five percent or even less may be considered unfair or unreasonable.
Do You Need a Florida FINRA Securities Arbitration Attorney?
Are you a Boca Raton, Florida investor who has suffered significant losses in your stock brokerage and investment accounts? Did your Florida stockbroker or investment advisor misrepresent facts, fail to disclose facts making the statements made false and misleading, recommend unsuitable investments or strategies, excessively trade or churn, mismanage your investment account or engage in other kinds of stockbroker misconduct? If so, you need representation by an experienced, highly-rated and nationally recognized FINRA securities arbitration attorney—a lawyer who knows FINRA rules and procedures inside and out and how to handle these FINRA arbitration cases as well as other complex legal issues.
Free Initial Consultation With Experienced FINRA Securities Arbitration Attorneys Serving Boca Raton, Florida Residents In FINRA Arbitration Proceedings
At The Law Offices of Robert Wayne Pearce, P.A. we represent investors in all kinds of securities, commodities and investment law disputes in FINRA, AAA and JAMS arbitration and mediation proceedings. Attorney Pearce and his staff represent investors throughout Florida and across the United States on a CONTINGENCY FEE basis which means you pay nothing – NO FEES-NO COSTS – unless we put money in your pocket after receiving a settlement or FINRA arbitration award.
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For dedicated representation by Attorney Pearce with over 40 years of experience and success in all kinds of securities, commodities and investment law disputes serving Florida citizens, contact the firm by phone at 561-338-0037, toll free at 800-732-2889 or via e-mail.