Edward Jones Files Motion to Dismiss $15 Million Book of Business Lawsuit

Posted on May 24th, 2022 at 12:13 PM

From the Desk of Jim Eccleston at Eccleston Law:

A former Edward Jones advisor has filed suit against Edward Jones over a $15 million book of business. 

Brandon Johnson alleges that Edward Jones "failed to disclose material facts about internal asset sales to new Edward Jones Financial Advisors” and “used high pressure sales techniques” to sell him a book of business that Edward Jones “knew was statistically likely to fail.” Johnson further alleged that Edward Jones intentionally withheld the information.

In response, Edward Jones filed a Motion to Dismiss the Amended Complaint and to Compel Arbitration. However, after reviewing Johnson’s amended complaint, the court noted that Johnson’s three-page “Statement of Claim” did not include numbered paragraphs and failed to list any counts or identify which defendants were to face each claim. Since the amended complaint failed to specify the claims against each defendant as well as the grounds underlying each claim, the court ultimately granted Edward Jones’ Motion to Dismiss, which disposed of Johnson’s “shotgun pleading.”

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, regulatory and disciplinary matters.

 
 

Tags: eccleston law, edward jones, advisor

Return to Archive

TESTIMONIALS

Previous
Next

I want to extend a tremendous thank you for your dedication, professionalism, hard work and patient demeanor through this challenging time. It was enjoyable interacting with everyone on your team, this certainly helped while dealing with the situation and working towards resolution.

Dan M.

LATEST NEWS AND ARTICLES

March 20, 2025
Stifel Loses Raiding Case, Ordered to Pay Over $7 Million in Legal Fees

Stifel Financial has lost its raiding and breach-of-contract claim against a group of advisors who left its Indianapolis office to establish their own firm.

March 19, 2025
FINRA Enforcement Actions in 2024: Fines Drop But Cases Increase

The Financial Industry Regulatory Authority (FINRA) imposed $59 million in fines in 2024, reflecting a 35 percent decrease from the previous year, according to an analysis by Eversheds Sutherland.

March 18, 2025
Advisor Ordered to Pay $17.7 Million Over unsuitable REIT Sales

A FINRA arbitration panel has ordered former advisor Mark Sam Kolta to pay nearly $17.7 million in damages, plus interest and costs, to his former firm, National Securities, following allegations of breach of contract and unjust enrichment.