Facts

William and Henry Associates filed an arbitration claim against Anna Jacob in relation to Jacob's employment at William and Henry Associates. Jacob filed a counterclaim against William and Henry Associates and its principal seeking various forms of relief.

CLAIMANT'S CONTENTIONS: Claimant contended that while working for claimant, Jacob formed an outside business. Claimant asserted causes of action for breach of fiduciary duty, selling away, outside business activities and interference with contractual relationships.

RESPONDENT'S CONTENTIONS: Jacob denied the contentions and asserted her own causes of action against claimant for fraudulent and defamatory filing of Form U5, failure to pay wages, harassment, discrimination and retaliation. Furthermore, she asserted a claim for interference with ability to earn a substantial fee and breach of contract.

Damages

Jacob sought economic damages.

Result

The panel denied claimant's causes of action and found that claimant was liable to Jacob for $25,000 in costs. It further denied Jacob's statutory claims. However, the panel found that the U5 Form was defamatory and recommended expungement of Jacob's Reason for Termination. The reason shall be changed to voluntary and the termination explanation should be deleted and blank.

Other Information

ARBITRATORS: Michael M. Hachigian, presiding chairperson; Thomas Edward Wall; Barry A. Fisher.