Understanding Filing a Complaint [Securities Dispute Resolution]: A Comprehensive Guide
Definition & meaning
Filing a complaint in the context of securities dispute resolution involves submitting a formal document, known as a Statement of Claim, to the Financial Industry Regulatory Authority, Inc. (FINRA). This document outlines the claims being made, the basis for those claims, and the amount of damages sought. It is a crucial step for individuals or entities seeking to resolve disputes in the securities industry, which may involve legal violations or breaches of industry rules.
Legal use & context
This term is primarily used in the legal practice surrounding securities arbitration, a process for resolving disputes between investors and financial firms. Legal areas involved include securities law and arbitration law. Users can often manage the filing process themselves with the right tools, such as legal templates provided by US Legal Forms, which are drafted by qualified attorneys.
Real-world examples
Here are a couple of examples of abatement:
(Hypothetical example) An investor files a complaint against a brokerage firm for excessive trading, claiming it resulted in significant financial losses. The investor submits a Statement of Claim to FINRA detailing the nature of the trades and the damages incurred.