Panel Orders First Command to Pay $1.1M to Former Advisors

Posted on November 15th, 2013 at 12:47 PM

From the Desk of Jim Eccleston at Eccleston Law Offices:

A FINRA arbitration panel has ordered First Command Financial Planning (“First Command”) to pay $1.1 million in deferred compensation to a group of eight advisors and staff who left the firm back in May 2012. According to the arbitration award, First Command “switched back to a commissions sales model, hurting their business.” In addition, the panel reprimanded First Command for filing U5 termination forms saying the reps were let go for wrongdoing, and ordered their disciplinary records to be expunged to indicate they left voluntarily. The dispute occurred in 2012, when a branch manager left First Command with his team to form an independent hybrid firm clearing through LPL Financial (“LPL”).  

The attorneys of Eccleston Law Offices 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


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