Facts

Seymour Berger and Barbara Berger, as Trustees of the Barbara Berger Revocable Trust, filed a complaint against Charles Schwab & Co. Inc. related to the purchase of The Schwab TieldPlus Select Fund, a short-term bond fund. Claimants asserted fraud; breach of fiduciary duty; negligence; and breach of contract.

RESPONDENT'S CONTENTIONS:
Respondent sought dismissal of claimants' claims in its entirety. Respondent also sought expungement of Stacy Bliss's, a non-party, record.

Damages

Claimants sought $87,000 in compensatory judgment plus pre- and post-judgment interest. They also sought disgorgement; $261,000 in punitive damages; costs; fraud damages; an explanation for any basis of any punitive damage award; and other relief.

Result

The parties reached a settlement on or about June 4, 2013. The FINRA Panel thereafter recommended expungement of the non-party's records.

Other Information

ARBITRATORS: Barth Satuloff, Howard Bernstein and Robert G. Geeseman