Our firm is investigating Hornor, Townsend & Kent, LLC financial advisor and registered representative Paula K. Petersen (CRD# 7078487) of Aspen, Colorado for potential investment-related misconduct.
Financial Advisor’s Career History
According to FINRA BrokerCheck, Paula K. Petersen has been registered with Hornor, Townsend & Kent, LLC since 06/17/2024 (Aspen, CO).
Her prior registration history includes Eagle Strategies LLC (05/2021–06/2024) and NYLIFE Securities LLC (04/2019–06/2024). Her employment history disclosures also reflect work as an agent with New York Life Insurance Company (02/2019–06/2024) and ownership/insurance-related activities through Legacy Capital Group, LLC (reported as 12/2022–Present).
Paula K. Petersen Fraud Allegations and Investor Complaints Explained
Pending Customer Complaint Alleging an Unsuitable Variable Universal Life Product Purchase (Received October 28, 2025)
FINRA BrokerCheck reflects one pending customer dispute. The complaint alleges the client’s Variable Universal Life product purchased in November 2021 was unsuitable. The disclosure identifies the product type as Insurance and lists alleged damages as $0.00, while also stating the firm made a good-faith determination that damages would exceed $5,000. The complaint was received 10/28/2025 and remains pending, with no settlement amount reported.
Summary of Disclosures (for context)
- Customer Dispute (Pending) — Allegations: unsuitable Variable Universal Life product purchased in 11/2021 — Alleged damages listed: $0.00 (firm states good-faith determination damages exceed $5,000) — Complaint received: 10/28/2025 — Disposition: Pending (no settlement reported).
To obtain a copy of Paula K. Petersen’s FINRA BrokerCheck report, visit this link.
Robert Wayne Pearce Is Committed to Recovering Your Investment Losses
FINRA Rule 2111 (Suitability) requires brokers and associated persons to have a reasonable basis for recommendations and, when applicable, to ensure the recommendation is suitable for the specific customer. In an unsuitable Variable Universal Life allegation, Rule 2111 is commonly implicated because the analysis centers on whether the recommendation fit the client’s stated goals, risk tolerance, financial circumstances, and ability to maintain the policy over time.
FINRA Rule 2010 (Standards of Commercial Honor and Principles of Trade) broadly requires FINRA members to observe high standards of commercial honor and just and equitable principles of trade. Where a customer alleges an unsuitable insurance recommendation, Rule 2010 may be implicated if the circumstances suggest the product was pushed despite obvious mismatches, inadequate disclosure of key costs/constraints, or other conduct inconsistent with fair dealing.
FINRA Rule 3110 (Supervision) requires member firms to establish and maintain supervisory systems reasonably designed to achieve compliance with applicable securities laws and FINRA rules. When an alleged unsuitable recommendation is tied to a firm relationship (including the period when the product was sold), Rule 3110 can become relevant in assessing whether the firm’s supervisory controls were reasonably designed to detect and prevent unsuitable sales practices.
For over 45 years, Robert Wayne Pearce has helped investors recover losses caused by broker fraud, negligence, and unsuitable recommendations. His firm, The Law Offices of Robert Wayne Pearce, P.A., represents clients nationwide on a no-recovery, no-fee basis. Call (800) 732-2889 or email pearce@rwpearce.com for a free case review with an experienced securities attorney.