Anthony Cowan, Jennifer Cowan, Steve Gorder, Stacie K. Gorder, Elling Halvorson, Jon-Michael P. Smith, IRA, Jon Michael Phillip Smith, Rachel L. Smith, Alan Stephen, Scott Tomy v. Black Diamond Securities LLC, Estee Dorfman Foster, Richard Allan Finger Jr., First Washington Corporation, Phillip Fisher Frink Jr., James Hamer, Interactive Brokers LLC
Published: Jun. 28, 2014 | Result Date: Jun. 6, 2014 | Filing Date: Jan. 1, 1900 |Case number: 12-00268 Arbitration – $100,000
Facts
Anthony Cowan and others filed for arbitration against Black Diamond Securities LLC and others.
Contentions
PLAINTIFF'S CONTENTIONS:
Cowan asserted causes of action for unsuitable investing, unauthorized investing, excessive trading, fraudulent misrepresentation, control person liability, failure to supervise, breach of fiduciary duty, negligence, breach of contract, aiding and abetting, respondeat superior, agency liability, negligent infliction of emotional distress, and failure to treat the claimants in a just and equitable matter. The causes of action related to investments in various unspecified stocks and options.
DEFENDANT'S CONTENTIONS:
The respondents denied the claimants' allegations and asserted various affirmative defenses.
Damages
The claimants sought $12 million in compensatory damages.
Result
The panel held that Interactive Brokers was liable to Cowan for $14,462, to Steve Gorder for $10,891, to Elling Halvorson for $36,056, to Jon Smith for $13,797, to Alan Stephen for $18,930, and to Scott Tomy for $5,864. Jennifer Cowan, Stacie Gorder, Jon-Michael Smith and Rachel Smith's claims were denied. John Koth's expungement request was also denied. The panel recommended the expungement of all references to this arbitration from Estee Foster's registration records.
Other Information
ARBITRATORS: Todd A. Bloom, Robert M. Stein, Philip E. Cutler.
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