Advice for Financial Advisors who are Transitioning away from their Broker Dealer
As evidenced by recent events at Wells Fargo, many financial advisors become troubled by what they perceive to be the greedy practices of their own firms. Top Advisors often begin to see that the internal culture and incentives of their broker dealer are not aligned with the best interest of their clients. As a result, financial advisors often look for an alternative platform that will better serve their clients.
In addition, do not assume that the lawyer for the firm you want to transition to will always act in your best interest. His or her job is to protect your potential new employer, not you. Those interests are not always the same.
An Attorney Now Decreases Problems Later
If you have your own lawyer, you decrease the chances that you will end up spending a lot more on a lawyer later because you inadvertently violated an agreement, protocol, or otherwise exposed yourself to common law or statutory claims by your former employer (or even your new employer). Your lawyer can also assist you in creating an agreement with your potential new employer that is in your best interest and not inconsistent with what you are being promised over the phone or over a high-priced dinner.
We see financial advisors make career moves that have tremendous impact on their financial future and wreck the transition because they skipped hiring a lawyer and relied on what they were told when they were hired or were told by another broker rather than what their specific agreements say and what law and rules apply at the time of their transition.
We Have Experience Protecting Our Clients
At Vernon Litigation Group, we represent top financial advisors nationwide in disputes with their former employers. The representation often deals with issues such as defending promissory notes and forgivable loans and, in response, aggressively pursuing claims relating to tortious interference with business relationships, whistleblower claims, defamation, U-5 language, wrongful termination, violations of the employment laws, including harassment, as well as addressing all other legal and business issues that might be connected to an Advisors departure from a broker dealer or other financial firm.
ABOUT VERNON LITIGATION
The Vernon Litigation Group’s FINRA team of attorneys continues to represent financial advisors nationwide against Brokerage firms. Vernon Litigation Group is a law firm of financial litigators that represent clients in courtroom litigation, arbitration, and negotiations throughout the United States. Our lawyers are experienced in federal court, state court, mediation, and arbitration (including FINRA, JAMS, and AAA arbitration). For more information, visit our website at vernonlitigation.com or contact Vernon Litigation Group by phone at 239-649-5390 or by e-mail at [email protected]