Facts

John and Kathy Haas and NNN Parkway Corporate Plaza 5 LLC filed a complaint against Sagepoint Financial Inc. and Peter Shusterman related to a tenant-in-common investment at NNN Parkway.

CLAIMANTS' CONTENTIONS:
Claimants asserted causes of action for violation of the standards of reasonable basis suitability under the NASD and FINRA Rules. As well as just and equitable principles of trade (FINRA Rule 2010), fraud, misleading statements, misleading omissions of material information under NASD Rule 2210(d)(1), and just and equitable principles of trade under FINRA Rule 2010, breach of fiduciary duty, negligent misrepresentation, negligence, breach of contract, and breach of the covenant of good faith and fair dealing.

RESPONDENTS' CONTENTIONS:
Respondents denied the allegations and asserted various affirmative defenses. Respondents also moved to dismiss, arguing that the matter was outside of the deadline for eligibility for arbitration.

Result

The FINRA Panel agreed with respondents' assertion that the matter was no longer eligible for arbitration. As such, the Panel dismissed the case.

Other Information

ARBITRATORS: Mary Elizabeth Geerdes, Daniel A. Seiver, Randall Brian Christison FILING DATE: July 2, 2014