B-Share Mutual Fund Switching

Represented a large national broker-dealer firm in a series of three NASD Arbitrations filed against the firm involving allegations that one of its former registered representatives engaged in B-share mutual fund switching, unauthorized and unsuitable trading, and churning. Despite very difficult facts tending to support some of the allegations, a lengthy complaint history against the broker, and significant out-of-pocket-losses, we managed to position each of the three cases for mediation. Each case was resolved at mediation for between 17% and 55% of the total net out-of pocket losses.