Facts

Claimant Darlene Darata filed a claim against McClurg Capital Corporation, David McClurg, Raymond Lent, and Joseph Niederkorn. Her claims involved the non-disclosure of commissions payable to respondents in the acquisition of various annuities and the unsuitability of various mutual funds purchased. The matter was submitted to an NASD dispute resolution panel.

CONTENTIONS:
Claimant alleged breach of fiduciary duty, constructive fraud, fraud and misrepresentation, negligence, breach of contract, and control person's liability. Respondents denied the allegations and any liability. They asserted various affirmative defenses as well.

Damages

Claimant sought $663,301 in compensatory damages, costs, and such other damages and relief proven or as deemed just and proper. The McClurg Corporation and McClurg requested their costs, expungement of the case from the CRD records, that claimant's request be denied, and such other relief as deemed proper. Lent and Niederkorn requested their costs, expungement of the case from CRD records, and that claimant's claim be dismissed.

Result

Claimant's claims were dismissed in their entirety, and the NASD panel recommended expungement of the matter from the respondents' CRD records. Each party bore its own expenses.