Facts

Claimants Millani Lew and Glenn Lew asserted causes of action for breach of fiduciary and contractual duties, constructive fraud, failure to supervise and control, negligence and gross negligence, violation of federal securities laws, NASD conduct rules and NYSE rules, and violation of the Washington Securities Act. The respondents were UBS Financial Services Inc. (f/k/a UBS PaineWebber Inc.) The claimants contended that the respondents allegedly failed to manage risk associated with the claimants' portfolio. The claimants' portfolio was made up of Microsoft shares that Claimant Millani Lew had obtained by participating in the respondent's employee stock option plan.

The respondent denied the allegations of wrongdoing. For its defenses, the respondent asserted that the claimants' claims were barred by the applicable statute of limitations, assumption of risk, failure to state a cause of action, estoppel, waiver, laches, failure to mitigate, that the damages alleged were not the proximate result of the respondent's conduct, that the claimants did not allege a basis for recovery of taxes, attorney fees, or lost opportunity costs. The respondent also requested that if it should be found liable to the claimants, damages should be reduced by the amount that a partfolio consistent with the claimants' would have declined in value during the relevant period.

Damages

The claimant requested relief in the amount of $1,513,594 for compensatory damages, unspecified punitive damages, pre- and post-judgment interest, and costs, including both attorney fees and forum fees. The respondent requested that the claimants' claim be dismissed. The respondent also requested assessment of forum fees to the claimant, as well as costs.

Result

The claimants' claims were denied in their entirety.