This is the property of the Daily Journal Corporation and fully protected by copyright. It is made available only to Daily Journal subscribers for personal or collaborative purposes and may not be distributed, reproduced, modified, stored or transferred without written permission. Please click "Reprint" to order presentation-ready copies to distribute to clients or use in commercial marketing materials or for permission to post on a website. and copyright (showing year of publication) at the bottom.

Torts
Breach of Fiduciary Duty
Professional Negligence

Ronald L. Lawrence, Janice L. Lawrence, Recruiter's Resource Inc. v. Charles Schwab & Co. Inc.

Published: May 2, 2009 | Result Date: Aug. 20, 2008 | Filing Date: Jan. 1, 1900 |

Case number: 07-02489 Arbitration –  Defense

Court

Arbitration Forum


Attorneys

Plaintiff

Mark A. Schadrack
(Lewis, Brisbois, Bisgaard & Smith LLP)


Defendant

Richard A. Karoly

Paul S. Chan
(Bird, Marella PC)


Facts

Ronald Lawrence, Janice Lawrence, and Recruiter's Resource Inc. sued Charles Schwab & Co. for breach of fiduciary duty.

Contentions

PLAINTIFF'S CONTENTIONS:
The plaintiffs claimed that an unqualified employee assisted them in setting up a pension plan, which resulted in negligence, breach of contract, and breach of fiduciary duty.

DEFENDANT'S CONTENTIONS:
The defense denied that it was negligent in staffing. The paperwork that established plaintiffs' pension plan specified that plaintiffs' were not to rely on Schwab & Co. for investment or tax advice. Furthermore, the Lawrences were ineligible as a matter of law for the pension plan they sought damages for.

Result

The arbitrators' decision was for the defense.

Other Information

ARBITRATORS: Morris S. Getzels, Valerie Lewis, Victoria E. Johnson.


#82072

For reprint rights or to order a copy of your photo:

Email jeremy@reprintpros.com for prices.
Direct dial: 949-702-5390