Stephens Wins $18.2 Million In Raiding Claim Against Ben Edwards

Posted on February 4th, 2022 at 12:48 PM
Stephens Wins $18.2 Million In Raiding Claim Against Ben Edwards

From the Desk of Jim Eccleston at Eccleston Law: 

Stephens, Inc. has won nearly $18.2 million in an arbitration claim against Benjamin Edwards & Company over the raiding of an Arkansas branch. 

Stephens’ claim accused Ben Edwards of poaching four advisors at the Jonestown, Arkansas office over an 11-month span beginning in 2016. According to Stephens, the hiring constituted an unfair raid causing the firm to lose at least 40% revenue accompanied by predatory intent and “improper means” of recruiting. The award included $10.97 million in compensatory damages and $2.20 million in attorneys’ fees. Additionally, the two panelists in the majority awarded $5 million in punitive damages. 

The two panelists also denied a counterclaim that had sought nearly $2.55 million in damages pertaining to violations of the industry’s Broker Protocol recruiting agreement. Ben Edwards, which employs at least 300 advisors across 75 offices, will likely appeal the matter in an effort to reverse the arbitrators’ decision, according to a company spokeswoman. 

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

Tags: eccleston, eccleston law, arbitration

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Thank You from the bottom of our hearts for all you have done for us. When we realized this was a very bad investment - we did not know where to turn for help. Then we received your name. When we called you - you were so kind to us and then agreed to help us. For this we are so very grateful. The world would be a much nicer place if there were more people like the two of you in it. We will always remember all the help and kindness you have shown us. Thank you so very very much for everything.

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