The primary goal of securities attorneys is to protect the legal rights of consumers in all areas of financial law. With huge corporations known to commit fraud and to steal from trusting investors (Enron in 2001 for example), it is imperative that consumers keep their eyes open to suspicious activity and hold the companies accountable to spend investments properly and honestly.
When suspicions arise, securities lawyers are a resource to help consumers navigate the financial world, where laws are frequently changing and businesses are trying to sneak away with as little accountability as possible.
Specifically, securities law helps protect everyday consumers within the number of federal and state laws intended to hold publicly-traded companies accountable and compliant.
Financial Investment Law
Within the broad range of financial investment law, Sadis & Goldberg specializes in securities disputes such as:
- Hedge fund fraud – We represent institutional investors and individual high net worth investors who have been the victims of hedge fund fraud via profit reallocation, misleading risk parameter statements, and Ponzi schemes, to name a few.
- Stock broker fraud – We represent brokerage firms, registered investment advisers, and financial advisers in complex securities litigation, arbitration matters, and other claims, such as investment fraud, breach of fiduciary duty, unsuitable investments, misrepresentation of information, noncompliance with laws and regulations, churning, over concentration, overcharging, excessive use of margin, and unauthorized trading.
- Securities fraud – We represent anyone (individuals and small or large corporations) who is a victim of securities fraud, which commonly takes the form as misrepresentation of information about investments, fraudulent valuation of assets, Ponzi scheme, or distributing false or incomplete documents.
- Whistleblower rights – Since 2011, individuals have been encouraged to report potential securities law violations under what is known as Dodd-Frank in order to award people for doing the right thing. Sadis & Goldberg represents these individuals who believe they have knowledge about violations they would like to bring to the U.S. Securities & Exchange Commission (SEC). A person must meet four qualifications for successful SEC enforcement: 1) the person must voluntarily provide the information at issue, 2) the person must provide the original information, 3) the information must lead to a successful enforcement action, and 4) the successful enforcement action must lead to monetary sanctions exceeding $1,000,000 in a single judicial or administrative action.
- Shareholder rights – Sadis & Goldberg proudly activates for enhancing shareholder rights in order to achieve more sound corporate governance. To us this means providing legal representation for appraisal rights, mergers & acquisitions (M&A) litigation, and Delaware State securities litigation.
In more detail, our team of securities attorneys represent consumers who may be dealing with:
- Fraud – A criminal or wrongful act of deception that intentionally results in personal or financial gain.
- Misrepresentation or omissions – Incorrect information about or failure to disclose all information about the risks and facts associated with a recommended security, especially when the false information helps make the sale.
- Unauthorized or unsuitable trading – A broker sells or buys a security under an investor’s account without the investor’s prior approval, unless the investor signs an agreement stating the broker has permission to manage an account in such a way.
- Breaches of fiduciary duty – Fiduciary duty is the obligation of the investment firm or corporation to act in the best interest of the consumer. Therefore, a breach of fiduciary duty is when the corporation or firm deliberately makes a decision that acts in their favor and not in the client’s.
- Churning or over-trading an account – A broker excessively buys or sells stocks for an investor for the sole purpose of earning more commission.
- Market manipulation – Also known as price manipulation, market manipulation occurs when security prices are falsely deflated or inflated to change the fair and free flow of the market itself.
- Options abuse – Stock option grants are a popular form of compensation for employees and executives within a company; however, this can lead to an abuse of power or manipulation of numbers and performance to increase a personal bonus. This can result in executives earning high paychecks and shareholders not seeing any payouts.
- Inappropriate, speculative investments – An investment may be considered inappropriate or speculative if they are sold without adequate disclosure, sold to the wrong person, or come with odd terms attached.
- Improper use of margin – When trading on margin with a stock brokerage, the firm must disclose additional risks. It must also properly contact you before forcing sale or trade of the securities on margin.
- SIPC liquidation – The Securities Investor Protection Corporation (SIPC) appoints a trustee to oversee and restore cash to consumers in the event of a liquidation.
What We Do Best: Protect and Recover Losses for Investors
At Sadis and Goldberg, we make it our mission to protect and recover losses for investors. From providing legal counsel about investment types or the history of a known investment firm to full expert representation during litigation and trial, consumers and investors can trust in our experience to provide proper service. It is our obligation to help you achieve the best results possible for your case.
Though Sadis & Goldberg is based in New York, we have a team of niche securities litigation and arbitration attorneys who recover losses from investment misconduct nationwide. We offer free consultations to learn more about your story and how we can help.
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