Securities Arbitration & Litigation

Utilizing Montgomery (“Monty”) Griffin’s 10-years of previous experience as a former financial advisor for Merrill Lynch and PaineWebber (1986 through 1995), the Law Offices of Montgomery G. Griffin represent retail and institutional investors, including many retired senior citizens, in securities arbitration and litigation matters. Since opening his office in 1997, Montgomery Griffin has not lost a securities arbitration case following a hearing on the merits before a securities arbitration panel.

The Securities Arbitration Process Is "Final and Binding"  -  Making It Your Only Chance to Recover Losses

Disputes between investors and financial institutions are typically decided by arbitration rather than in court. In 1987, in Shearson/American Express, Inc. v. McMahon, 420 U.S. 220, the United States Supreme Court determined that the arbitration process governing securities disputes was a constitutional alternative to the traditional court system and jury process.  

The decision rendered by arbitrators (typically a panel of three people) on each case is “final and binding,” meaning that the decision cannot be appealed or otherwise reviewed by a court (except in very limited circumstances). Consequently, the securities arbitration process is usually an investor’s only “bite at the apple,” which intensifies the need to be represented by an experienced lawyer with specialized knowledge of the stock brokerage and financial services industries. Monty Griffin possesses this knowledge, in large part as a result of his unique and meaningful prior work experience in the stock brokerage industry, as well as his more recent involvement as an expert consultant and/or witness on many securities cases, and his service as a securities arbitrator for FINRA (formerly known as the NASD) since 1995. See Securities Arbitration Issues

Broker Misconduct

Stock brokers and financial advisors can create liability for themselves and their firms by engaging in a wide variety of broker misconduct, including:

• Negligence and/or breach of fiduciary duty
• Recommendation of unsuitable investments
• Variable annuities and Equity-index annuities (particularly when recommended to elderly persons)
• Misrepresentation (often regarding the risk of an investment or portfolio)
• Omission of material facts (e.g., failure to disclose risks or commissions)
• Failure to diversify
• Over-concentration
• Churning
• Recommendation of stocks and other volatile equities to senior citizens living on a fixed income
• Improper use of margin borrowing (which increases the investor’s risk)
• Unauthorized trading

Selection of Arbitrators

Under FINRA securities arbitration rules, three arbitrators are selected to serve as the arbitration Panel after a case is filed. The attorneys who represent the parties participate directly in the selection process of the arbitrators. 

In addition to serving as a securities attorney, Montgomery Griffin has been a member of the NASD’s (now FINRA’s) Board of Arbitrators since 1995. Monty has served on approximately 40 arbitration panels, including in the position of Panel Chairperson. As a result of these experiences, Monty has served on arbitration panels with approximately 80 other NASD / FINRA securities arbitrators. When coupled with his experiences as an attorney in arbitration hearings, Monty has had first-hand experiences with in excess of 200 different NASD / FINRA arbitrators since 1995. Thus, Monty is able to use his knowledge of the background and “mind set” of other FINRA arbitrators when participating in the selection process for arbitrators on the cases he prosecutes on behalf of his clients.

Montgomery Griffin has appeared for his clients in securities cases in southern California (Los Angeles and San Diego), northern California (San Francisco and Sacramento), New York, Nevada (Las Vegas), Hawaii and elsewhere.

While representing investors in securities disputes, Monty has received verdicts or awards exceeding $1 million. Members of the national press have covered Monty Griffin on securities arbitration and litigation issues, some of which can be accessed under the In The Press section of this website.

Claims by Registered Representatives Relating to Expungement Requests, Loan Forgiveness, Wrongful Termination, Defamation, etc. . . .

Montgomery Griffin represents registered representatives against their former firms for claims such as expungement requests, wrongful termination without just cause, defamation on Form U-5 disclosures and CRDs (including actions seeking expungement), and, promissory note collection actions by firms.