Jim Eccleston: SEC’s Wells Notice is an 80/20 Bet | Investors

Posted on October 28th, 2013 at 4:34 PM

From the Desk of Jim Eccleston at Eccleston Law:   


            Approximately 80% of people who were warned that they might be sued by U.S. regulators for allegedly violating securities law, did in fact face these charges.  The SEC’s powerful enforcement tool, a Wells Notice, alerts individuals and companies that the agency may take enforcement action. 

            Pursuant to a Wells Notice, the SEC must decide whether to proceed with enforcement action within 180 days of issuing the notice, unless there is a formal extension of the deadline.  The notices disclose the specific charges that enforcement is considering to recommend to the SEC’s commissioners for approval.  To respond, companies and individuals can file Wells a “submission” detailing why they believe the SEC should not file its case and/or should reduce the penalties that it seeks. 


The attorneys of Eccleston Law represent investors and advisers nationwide in securities and employment matters. Our attorneys draw on a combined experience of nearly 50 years in delivering the highest quality legal services.

Related Attorneys: James J. Eccleston


Return to Archive



As a financial advisor with over 20 years of experience, I feel fortunate to call Jim my attorney and friend. He is a fantastic lawyer and trusted advisor. He is skilled in the matters necessary to do the job well. He uses his thoughtful approach and calm demeanor to achieve a positive outcome for the client. If you want to feel confident that nothing will be missed and that you will be represented in a highly professional manner, call Jim Eccleston.

Bill C. and Dan M.


October 27, 2021
Former LPL Advisor Suspended For Completing 22 Trades Absent Client Consent

The Financial Industry Regulatory Authority (FINRA) has suspended and fined a former LPL advisor who allegedly completed 22 trades on behalf of a client without obtaining written consent. FINRA has issued a $5,000 fine and has suspended Michael Hartlett for 10 days.

October 26, 2021
Former Advisor Fails To Reverse Bar After Alleged $1 Million Theft From RBC

A former RBC Wealth Management advisor lost his bid to reverse an industry bar, according to an appellate decision issued by the Financial Industry Regulatory Authority (FINRA).

October 25, 2021
Firms Walk Thin Regulatory Line In Referring Self-Directed Clients To Advisors

While online trading platforms have surged in popularity during the pandemic, brokerage firms view self-directed investors as a source of new clients.