FINRA Arbitration Panel In Florida Awards More Than $250,000 To Claimant

On November 5th, 2021, a Florida-based FINRA arbitration panel awarded $250,205.50 in financial compensation to a claimant who suffered damages due to alleged misconduct by a broker and brokerage firm (Case Number: 15-03293). The respondents in the case were Richard Alyn Rappaport (CRD#: 1885122) and WestPark Capital, Inc. (CRD#: 39914/SEC#: 801-108275, 8-48898). Below, our Miami investment fraud lawyers discuss the decision from the FINRA arbitration panel.

FINRA Arbitration Claim: Richard Alyn Rappaport and WestPark Capital, Inc. 

The claimant in this FINRA dispute is Anthony C. Pintsopoulos. Mr. Pintsopoulos filed a claim against Richard Alyn Rappaport and WestPark Capital, Inc. Richard Alyn Rappaport is a licensed broker and registered investment adviser (RIA) based in Los Angeles, California. Mr. Rappaport has been associated with Westpark Capital since 1999. With a main office in Los Angeles, WestPark Capital is a large brokerage firm that is licensed to operate in 53 states and territories.

FINRA Arbitration Dispute: Negligent Misrepresentation

The claimant in this case raised a number of different causes of action against the respondents, alleging violations of federal securities law, Florida law, and California law. Among other things, the claimant alleged:

• Negligent misrepresentation;
• Intentional misrepresentation;
• False promise;
• Suppression and concealment;
• Breach of fiduciary duty;
• Breach of written contract;
• Breach of oral contract;
• Promissory estoppel; and
• Detrimental reliance.

For their part, the respondents filed a counterclaim against the claimant alleging both affirmative defenses and additional claims, including negligence, defamation, slander, and malicious use of the arbitration process.

FINRA Arbitration Award: $250,205.50 in Compensatory Damages, Counterclaim Dismissed 

After reviewing the allegations and the evidence presented by the parties, the Boca Raton, FL based FINRA arbitration panel ruled in favor of the claimant. In total, the FINRA arbitration panel awarded the claimant $250,205.50 in compensatory damages. Additionally, the panel dismissed the full scope of the counterclaim filed by the respondents. However, the panel determined that no compensation would be awarded to either party for attorneys’ fees, legal costs, or punitive damages.

FINRA Awards Should Be Paid Within 30 Days

FINRA arbitration awards are binding and there are only limited appeal rights. All parties subject to an adverse decision in an arbitration proceeding are required to pay an award within 30 days. Failure to take action could result in suspension. Notably, FINRA Rule 9554 contains expedited disciplinary procedures for a broker or broker-dealer’s failure to comply with the terms of an arbitration award. 

Schedule a Confidential Case Evaluation With a Securities Fraud Lawyer in Miami

At ​Carlson & Associates, P.A., we are driven to protect the legal rights of investors. With a focus on helping wronged investors recover full and fair financial support, our Florida FINRA arbitration lawyers have the professional expertise that you can trust. If you have any questions about FINRA arbitration claims, we are available to help. Call us now or contact our Miami law office online for a fully confidential review and evaluation of your case.

Resource:

finra.org/sites/default/files/aao_documents/15-03293.pdf