How do I file a claim with FINRA?

Asked by: Theodore Pagac V  |  Last update: September 23, 2023
Score: 4.8/5 (20 votes)

How do I file a Statement of Claim? File your Statement of Claim with the DR Portal. Upon receipt of your filing, your case will be assigned to the appropriate regional office and you will be provided with a case number. FINRA will notify you of the staff person assigned to your case during this stage of the process.

How do I file an arbitration claim with FINRA?

Initiate an Arbitration
  1. To file a claim online, visit the DR Portal. Or.
  2. Investors representing themselves may file a claim via the DR Portal or should file the Statement of Claim and other related documents with the New York Office. The New York Office address is: FINRA Dispute Resolution Services. Brookfield Place.

How do I start an arbitration claim?

A claimant initiates an arbitration by filing a statement of claim that specifies the relevant facts and remedies requested. A respondent responds to an arbitration claim by filing an answer that specifies the relevant facts and available defenses to the statement of claim.

What is the statute of limitations for FINRA claims?

No claim shall be eligible for submission to arbitration under the Code where six years have elapsed from the occurrence or event giving rise to the claim.

How do I contact FINRA dispute resolution?

Phone Contacts

Northeast Region: (212) 858-4200. West Region: (213) 613-2680. Southeast Region: (561) 416-0277. Midwest Region: (312) 899-4440.

Why Time Is of the Essence When Bringing a Claim in the FINRA Dispute Resolution Forum

43 related questions found

What happens when you file a complaint with FINRA?

Following receipt of a complaint, FINRA staff normally begin the investigation by requesting information and documents from the brokerage firm and its employees to verify information and obtain additional facts. FINRA does not open investigations for all investor complaints.

What is considered a FINRA complaint?

(b) For purposes of this Rule, "customer complaint" means any grievance by a customer or any person authorized to act on behalf of the customer involving the activities of the member or a person associated with the member in connection with the solicitation or execution of any transaction or the disposition of ...

What is the two year rule for FINRA?

When you terminate your registration with FINRA, you remain subject to FINRA's jurisdiction for at least two years. For example, you may be asked to provide information, documentation or to testify on the record during a FINRA examination or investigative process.

How long to respond to a FINRA complaint?

Pursuant to Rule 9133 , each Respondent named in a complaint shall serve an answer to the complaint on all other Parties within 25 days after service of the complaint on such Respondent, and at the time of service shall file such answer with the Office of Hearing Officers pursuant to Rules 9135 , 9136 and 9137 .

Does FINRA have jurisdiction over me?

Under Article V, Section 4 of the FINRA By-Laws, FINRA retains jurisdiction over a registered person for purposes of filing a complaint (i.e., bringing a disciplinary action) for two years after the effective date of the person's termination from the firm.

How long does FINRA arbitration take?

This process is similar to filing a case in court, but FINRA's process is often faster and uses rules and professional standards as the basis for its claims – something a court case may not look to. The average case that goes to hearing for FINRA arbitration takes around 16 months to resolve, according to FINRA.

Does arbitration cost money?

Each party will have costs to conduct their case in arbitration just as they would in court. These costs might include attorneys' fees, costs for expert witnesses, costs to have witnesses travel to the arbitration, costs for copying and presenting exhibits, etc.

How long does it take to initiate arbitration?

A matter may proceed to arbitration usually in a matter of months, instead of the several years it may take to have a case heard in court. The matter is heard in a conference room, as opposed to a courtroom. Courtroom rules of evidence are not strictly applicable, and there is usually no significant motion practice.

What is the success rate of FINRA arbitration?

In FINRA arbitration, the majority of customer cases – approximately 69% – result in settlements reached by the parties.

What is a FINRA arbitration claim?

FINRA Arbitration

If all parties do not fully settle their claims or you decide to arbitrate your claim without mediation, you may submit your claim to FINRA. In arbitration, an impartial person or panel hears the presentations of the parties, evaluates the evidence and decides how the matter will be resolved.

How does FINRA arbitration work?

In resolving disputes through arbitration, a FINRA arbitrator or panel (consisting of three arbitrators) will listen to the arguments set forth by the parties, study the testimonial and/or documentary evidence, and then render a decision.

What offenses are reportable to FINRA?

FINRA Rule 4530(b) requires a firm to report to FINRA within 30 calendar days after the firm has concluded, or reasonably should have concluded, on its own that the firm or an associated person of the firm has violated any securities, insurance, commodities, financial or investment-related laws, rules, regulations or ...

How long does a FINRA investigation take?

It varies, based on the underlying facts of the investigation. In some cases, you may not hear anything from FINRA for several months until you get a letter that the investigation is closed. In other cases, you may hear back in several weeks that FINRA is requesting additional information.

Does FINRA pay whistleblowers?

If you report the violation to the SEC, you can be covered under Dodd-Frank. FINRA reporting does not provide protection or payment.

What is the FINRA 5% rule?

The five percent rule is a stipulation of the Financial Industry Regulatory Authority (FINRA), which oversees brokers and brokerage firms in the U.S. Dating back to 1943, it stipulates that a broker shouldn't charge commissions, markups, or markdowns of more than 5% on standard trades, both stock exchange listings and ...

What is FINRA 5 day rule?

According to FINRA rules, you're considered a pattern day trader if you execute four or more "day trades" within five business days—provided that the number of day trades represents more than 6 percent of your total trades in the margin account for that same five business day period.

What is the 6 year rule for FINRA?

No claim shall be eligible for submission to arbitration under the Code where six years have elapsed from the occurrence or event giving rise to the claim. The panel will resolve any questions regarding the eligibility of a claim under this rule.

What does filing a SEC complaint do?

The SEC investigates the allegations in the complaint and may bring charges against the wrongdoer, but it does not always result in a return of an investor's losses. To recoup a full range of damages, an investor should consult an attorney to determine if filing a civil action is in the investor's best interest.

What is the FINRA red flags rule?

The Red Flags Rule requires specified firms to create a written Identity Theft Prevention Program (ITPP) designed to identify, detect and respond to “red flags”—patterns, practices or specific activities—that could indicate identity theft.

What is a FINRA settlement?

The majority of FINRA mediations conclude with a settlement between the parties. While mediation is non-binding, once parties sign a settlement agreement, the agreement is final and enforceable. When the parties reach an agreement, they are responsible for recording the settlement in writing.