As an investor, suffering losses can be disheartening. However, if the losses were due to misconduct or negligence of financial advisors or institutions, you may have legal recourse. This article will examine when you may need an investment loss lawyer, your compensation options, and how to pick the right attorney to represent you.
Proving liability is key to recover investment losses
The key to recovering any investment losses through legal action is proving liability – that the losses were directly caused by improper actions like fraud, misrepresentation, breach of fiduciary duty, or violation of securities laws and regulations. An experienced investment loss lawyer can help gather evidence like account statements, prospectuses, communication records to establish liability and quantify losses for mediation or trial.
Multiple options exist for monetary compensation
If liability is established, an investment loss attorney can help you recover losses through different means. Mediation with the financial institution may result in a settlement. For serious misconduct, regulators like SEC and FINRA can impose fines and restitution. If advisors are certified, their insurance may cover some losses. Finally, a civil lawsuit can seek damages for losses and even punitive damages to punish egregious actions.
Choosing an attorney with securities litigation expertise is vital
Not all attorneys have specific experience with investment disputes and securities litigation. It’s important to choose one who thoroughly understands SEC rules, arbitration processes, insurance claims and mediation tactics in this field. Also verify they have a track record of favorable settlements and judgments. Local bar associations can be a good reference source for qualified investment loss counsel.
Suffering investment losses can be devastating, but legal options exist to recover your hard-earned money if negligence or misconduct was involved. An experienced investment loss attorney can prove liability, quantify losses, and successfully mediate or litigate your claim.