While many actions that can get a broker in hot water are obviously avoided, others are not so clear. For example, who knew that putting clients into a money market fund could get a broker sued? Yet, that's just what's happening to broker-dealers who recommended higher-return money market funds. Just one problem: Those funds had a more than generous helping of subprime debt in order to boost returns leading to losses. Likewise with auction-rate securities that were seen by many as money-market equivalent. When that market froze up, clients began legal actions.

Not surprising, then, that the Financial Industry Regulatory Authority lists the top reason for bringing an arbitration case against a rep as breach of fiduciary duty. There may be more imperative than ever to keep a clean record: A new rule, proposed by FINRA and adopted by the Securities and Exchange Commission that makes it harder to get potentially frivolous customer complaints off a rep's U4.

"Avoiding Arbitration" brings together a panel of experts in the area of securities litigation to give brokers and reps the right tools to stay out of arbitration.

Listen online now, or download to listen at your convenience.

FEATURED PANELISTS:

Matthew Farley, partner, Drinker Biddle & Reath LLP

Matthew Farley, a member of the New York, New Jersey and Washington, D.C. bars, is a partner in Drinker Biddle & Reath LLP's New York office. For over 30 years, Mr. Farley has represented the financial services industry, including brokerage firms and individual representatives, in litigation and in arbitration, and also in SEC, state and SRO regulatory proceedings. He is a frequent speaker at professional seminars and securities industry meetings on topics relating to legal issues and trends of concern to the industry, including those involving arbitration practice. When conflict considerations and List Selection results permit, he also serves as an arbitrator at FINRA Dispute resolution. He is an outside counsel member of the SIFMA's Law and Compliance Division, and of the American Bar Association's Securities Litigation Committee, and a past editor of the ABA's Business Lawyer's Annual Review of Securities Litigation.

Thomas Fehn, partner, Fields, Fehn & Sherwin

Tom Fehn has 35 years of experience practicing law in California, specializing in all aspects of securities law, including state and federal registration, regulatory enforcement (both civil and criminal), broker-dealer regulation and compliance, litigation, arbitration and mediation of investment loss cases (for both plaintiffs and defendants). He is a founding partner (1972) of Fields, Fehn & Sherwin, a boutique Los Angeles law firm that focuses on all aspects of securities law. For more than ten years, Mr. Fehn has been a faculty member and co-chair of the Practicing Law Institute's annual seminar for attorneys on Securities Arbitrations and has authored numerous articles on securities related issues. He has also served on the faculty of the University of West L.A. School of Law, teaching Corporations Law. He has acted as an arbitrator or mediator in more than a hundred investment loss disputes, and has had many speaking engagements before securities industry groups, continuing legal education and private organizations.

David Robbins, partner, Kaufmann, Feiner, Yamin, Gildin & Robbins

Mr. Robbins is a partner in the New York City law firm of Kaufmann, Feiner, Yamin, Gildin & Robbins LLP and specializes in commercial arbitration, mediation and the representation of individuals and firms before regulatory agencies. He represents investors, brokers and brokerage firms and is a mediator and arbitrator of commercial disputes. From 1976 through 1980, Mr. Robbins served as Special Deputy Attorney General of New York, responsible for the civil and criminal prosecution of securities fraud cases. He was with the American Stock Exchange from 1980 through 1985 as Director of the Compliance Department and later as Director of the Legal and Regulatory Policy Division, where his responsibilities included being Director of Arbitration and Director of Disciplinary Hearings. Mr. Robbins is the author of Securities Arbitration Procedure Manual , the primary text in this area of the law. It is used nationwide by law firms, brokerage firms and law schools. He regularly lectures at law schools that use the book in their courses. Since 1996, Mr. Robbins has written the annual Practice Commentary to McKinney's Consolidated Laws of New York, Article 23-A of the General Business Law (the state's securities statute) on securities arbitration for New York attorneys. Since 1986, Mr. Robbins has served as the Chairperson for all of the annual Practising Law Institute (PLI) continuing education programs on securities arbitration and mediation (www.pli.edu). He is a member of FINRA Dispute Resolution's National Arbitration and Mediation Committee, where he chairs the Neutral Roster Subcommittee. He is an arbitrator and mediator for the FINRA, New York Stock Exchange and the American Arbitration Association and is a member of the NYC Bar Association, the New York County Lawyers' Association, PIABA, the Compliance and Legal Division of the Securities Industry and Financial Markets Association (SIFMA) and the Board of Editors of Securities Arbitration Commentator (SAC). In August 2008, he will chair PLI's 22nd annual program on securities arbitration and mediation.

Moderated by: Frances McMorris: Editor-in-Chief, On Wall Street