Ameriprise

The case is the latest example of what Ameriprise paints as LPL's systematic overstepping of bounds in its advisor recruitment.

An LPL vice president testified that 30 former Ameriprise advisors imported client information for accounts with more than $1 billion under management and $16 million in yearly revenue generation.

Adjusted operating net revenues within the Minneapolis-based firm's advice and wealth management segment grew 14% to $2.7 billion in the third quarter compared to a year ago.

In court response, LPL warns victory for Ameriprise would "chill" advisors' ability to move from one independent broker-dealer to another.

In a recurring pattern, Ameriprise again accuses its industry rival of encouraging a recently recruited advisor to "harvest" and bring over confidential client information.

Manish Dave, who has been with the firm for 18 years, oversaw a headcount that was formidable but stagnant in recent years.

Analysts say that firms that are forced to start paying clients higher rates may have to raise their advisory fees and cut costs to make up for the revenue losses.

Industry experts say they can't recall another time when an advisory firm has used a lawsuit for a wholesale indictment of a rival's recruiting practices.

Slight shifts in the makeup of the biggest firms in the channel reflect a more complicated picture than sheer dominance by the giants at the top.

The latest court dispute between the two wealth management giants issues a widespread indictment against LPL's recruiting practices.