National investment loss lawyers KlaymanToskes reports that a group of former Morgan Stanley financial advisors won $3 million in collective damages in a FINRA arbitration claim, in connection with findings that Morgan Stanley wrongfully withheld payments of their deferred compensation. The amounts awarded in deferred compensation range from approximately $70,000 to over $600,000, along with significant attorney fees and interest payments.
The recent arbitration ruling follows a prior court case where similar claims were referred to arbitration by the U.S. District Court for the Southern District of New York. In that ruling, the judge stated that Morgan Stanley’s deferred compensation program falls under the regulations of the Employee Retirement Income Security Act (ERISA). Additionally, the judge mandated that financial advisors arbitrate their claims alleging that Morgan Stanley unlawfully withheld specific deferred compensation payments upon their departure from the firm.
If you are a Morgan Stanley financial advisor or other securities industry professional facing an employment dispute, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.
KlaymanToskes is a leading national law firm which represents industry professionals who have been involved in a number of employment-related disputes including unpaid compensation, commission, and bonuses. The law firm’s founder and managing partner, Lawrence L. Klayman, Esq. has extensive experience as a former securities broker and has spent decades applying his knowledge gained on Wall Street representing brokers and financial advisors in a range of employment law matters including regulatory proceedings, whistleblower actions, Form U5 defamation, promissory note disputes, and other wrongdoings.
The majority of employment-related conflicts within the securities industry involving employees and their employers are resolved through arbitration panels established by the Financial Industry Regulatory Authority (“FINRA”). However, KlaymanToskes also arbitrates cases before various forums such as the American Arbitration Association (AAA) and the Judicial Arbitration and Mediation Services (JAMS).
If you have been wrongfully terminated or experienced unpaid compensation at Morgan Stanley, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.