California Broker Misconduct Lawyer

When you decide to invest your hard-earned assets in California, you deserve to work with a broker-dealer or investment advisor you can trust. Unfortunately, some individuals can take that trust for granted, acting with intentional recklessness or wrongdoing when it comes to your investments. These broker firms can abuse their power and cause you to suffer extreme financial losses. In these situations, a California broker misconduct lawyer can prove crucial to your case.

Hiring a lawyer to represent you and your interest in a California broker misconduct claim can have a huge impact on the success of this claim. Rather than having to navigate this complex legal system yourself, the benefits of having an attorney at your side, guiding you through every step of the process, can be paramount to recovering the losses you have sustained. At Rosenberger + Kawabata, our attorneys are well-versed in this practice of law.

What Is Broker Misconduct in CA?

Particularly unethical broker-dealers and investment advisers engage in schemes to steal investors’ money in a number of ways, from redirecting funds into sham accounts to convincing investors to sign promissory notes backed by nothing of value, and even going so far as fabricating investment opportunities, complete with fraudulent prospectuses and account statements. The brokerage firms who fail to notice and put an end to such practices carried out by their employees can be held liable for losses incurred as the result of negligent supervision.

The most common forms of broker misconduct can include the following:

• Unauthorized trading, or a broker selling or buying securities in a client’s account without their knowledge or consent, even if that trade or sale is profitable
• Churning, or excessive trading, can happen when a broker engages in an excessive trade in a client’s account in order to generate more commission for themselves rather than to benefit the client
• Ponzi schemes, or fraudulent investments, which can cause sustainable financial losses for clients
• Breach of fiduciary duty, or when a broker does not act in their client’s interest and ends up prioritizing their own interests over those of the client
• Failure to execute, or when the broker fails to carry out the client’s instructions as the investor as they pertain to the buying or selling of securities in a timely manner, causing them to suffer financial losses
• Margin account abuse, or the improper usage of a margin account, including any unauthorized margin trading or a failure to explain any risks associated with margin trading, which can lead to the client experiencing financial loss
• Other forms of broker misconduct can include insider trading, the guaranteeing of results or profits, manipulation of the stock market, a fraudulent transfer of assets, the failure to diversity a client’s portfolio, the failure to monitor or supervise conducted by the broker’s firm, and a failure to disclose information to the client regarding the client’s portfolio

If you have suffered any of these forms of broker misconduct, you may be entitled to seek compensation through a civil claim. The attorneys at Rosenberger + Kawabata can assist you with that.

How the Attorneys at Rosenberger + Kawabata Can Help You

At Rosenberger + Kawabata we understand the significant and detrimental impact broker misconduct or theft can have on the well-being and future of your personal finances and assets. You have worked hard to get where you are and to have someone you trust conduct themselves with negligence, recklessness, or even wrongdoing, can cause extreme stress and uncertainty regarding the finances you have lost.

When you work with the attorneys at Rosenberger + Kawabata, you can count on us to assist you with the following:

• We can conduct a careful review and evaluation of your case, reviewing any applicable account statements, relevant documents, or communications with your broker or their brokerage firm. We can then begin to tailor a legal strategy to seek the compensation of the losses you have suffered.
• We can stand by your side every step of the way, from assisting you in filing a claim to any required arbitration or litigation in federal or state courts.
• We can try to resolve your case through negotiations with the brokerage firm, which can often save you both time and money in the long run. Allow us to handle any communications in seeking a fair settlement without having to face unnecessary court battles.

Common Signs of Broker Misconduct

There are several signs of broker misconduct you may see if your broker is not being honest with you and is behaving with recklessness, negligence, or wrongful intention. These signs can include:

• There are losses or withdrawals from your account that your broker will not address or cannot explain
• There is a recent trend of extreme trade amounts
• You were pushed by your broker to make unsuitable or risky investments or trades
• There are sudden losses that seem larger than usual
• There are trades in your account that you do not understand or did not authorize

Are Stockbrokers Liable for Losses?

Yes, a stockbroker can be liable for certain losses if you are able to prove that they acted with intentional negligence, wrongdoing, or recklessness when handling your assets or finances. If you have lost money because your broker has misled you, given you bad advice, or mismanaged your investments through unlawful or unethical actions, you have the legal right to hold them accountable for the damages you have suffered.

What Losses Can I Recover in a Civil Claim for Broker Misconduct?

There are several forms of damages you may be able to recover in a civil claim against a broker or brokerage firm when you file misconduct. These forms of compensation can include the following:

• Any lost finances or assets
• The interest or penalty payments
• Legal costs and attorney fees
• Any emotional pain or suffering you have sustained
• Possible punitive damages

What Are My Rights as an Investor?

As an investor in the state of California, you are entitled to several rights under both state and federal law. These rights include:

• The right to honest and fair treatment by your broker and their firm
• The right to suitable recommendations that align with your financial goals and risk tolerance
• The right to accurate information regarding your investments
• The right to clear communication from your broker
• The right to account statements regarding your investments
• The right to privacy

Reach Out to an Effective California Broker Misconduct Attorney

If you believe that you or someone you love has been the victim of broker misconduct, it’s time to talk to the attorneys at Rosenberger + Kawabata. We can review the details of your case and determine who may be held liable for the losses you suffered. Losses are common in the investment world, but when they are the fault of your broker’s negligence or wrongdoing, you have the right to hold them accountable for their misconduct.

Contact Rosenberger + Kawabata if you believe a broker-dealer or investment adviser has stolen from you.