Three Weeks after Morgan Stanley, UBS Exists the Broker Protocol

Posted on November 29th, 2017 at 5:04 PM
Three Weeks after Morgan Stanley, UBS Exists the Broker Protocol

From the Desk of Jim Eccleston at Eccleston Law LLC:

UBS has announced that effective December 1st it will exit the Broker Protocol. UBS’s departure from the Protocol was triggered by Morgan Stanley’s announcement three weeks ago. Morgan Stanley’s departure from the Protocol will likely spark more departures by other large firms like UBS.

Over a decade ago, many firms, including Morgan Stanley and UBS, agreed to follow the Protocol in an attempt to reduce litigation costs originated by efforts to prevent brokers from calling their former customers. The Protocol allows brokers to take with them only customer names, addresses, phone numbers, emails and account titles when they transition to other firms.

However, in recent years, the Protocol has not served a useful purpose for larger firms because more than 1,600 small broker-dealers and registered investment advisory firms have become signatories, allowing them to recruit from the bigger firms without fear of litigation.

The attorneys at Eccleston Law assist reps in transition, negotiate their transition agreements, and defend reps when firms file suit.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial advisors including Broker Litigation & ArbitrationStrategic Consulting ServicesRegulatory  MattersTransition Contract Review, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: Eccleston Law, Eccleston, James Eccleston, Eccleston Law LLC

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