FINRA Hires Law Firm To Independently Investigate Arbitrator Selection Process

Posted on February 25th, 2022 at 11:12 AM
FINRA Hires Law Firm To Independently Investigate Arbitrator Selection Process

From the Desk of Jim Eccleston at Eccleston Law:

The Financial Industry Regulatory Authority (FINRA) has hired outside legal counsel to independently investigate whether FINRA’s Dispute Resolution Services (DRS) adhered to its policies and procedures for arbitrator selection relating to a recent arbitration proceeding, in which the award was vacated by an Atlanta Superior Court judge.

FINRA CEO Robert Cook announced that “FINRA recognizes the importance of maintaining trust in the system and is committed to ensuring the DRS arbitration forum is operated in a fair and neutral manner.” The law firm will report the firm’s findings to the Audit Committee of FINRA’s Board of Governors.

FINRA’s DRS oversees an arbitration forum to facilitate the resolution of disputes involving investors, securities firms and financial advisors.

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


Tags: eccleston, eccleston law, finra

Return to Archive



You were most helpful with my FINRA deposition. You are a good lawyer and a good person.

Dan B.


February 21, 2024
SEC Alleges Fraud Against Morgan Stanley and Former Executive in Block Trading Business

As reported by the Wall Street Journal, the Securities and Exchange Commission (SEC) has charged Morgan Stanley & Co. LLC and its former head of equity syndicate desk, Pawan Passi, with a multi-year fraud involving the disclosure of confidential information related to block trades.

February 20, 2024
Challenges Persist: Firms Struggle to Comply with Regulation Best Interest

FINRA's annual report for 2024 reveals a concerning trend among broker-dealers, with numerous instances of violations of Regulation Best Interest (Reg BI).

February 19, 2024
FINRA Flags Violations in 70% of Broker-Dealers' Crypto Communications

During a two-year-old targeted examination, the Financial Industry Regulatory Authority (FINRA) has identified potential violations in 70 percent of broker-dealers' communications about cryptocurrencies.