Wells Fargo to Remove Some Restrictions in Customer Arbitration Agreements

Posted on June 2nd, 2021 at 11:16 AM
Wells Fargo to Remove Some Restrictions in Customer Arbitration Agreements

From the Desk of Jim Eccleston at Eccleston Law LLC:

Wells Fargo CEO Charles Scharf announced to senators that the bank intends to remove “confidentiality restrictions in all types of customer arbitration agreements that have them, thereby increasing the transparency of the arbitration process.” Furthermore, Scharf stated that the bank plans to update its customer arbitration agreements in order to reimburse filing fees in cases where the customer prevails so that the costs of arbitration do not dissuade customers from filing disputes. The changes come after Wells Fargo halted the use of mandatory arbitration for employee claims of sexual harassment last year.

Additionally, and in response to regulatory pressure, Wells Fargo has drastically changed its leadership since 2019. In fact, the bank has added a new chief operating officer, chief financial officer, chief compliance officer, general counsel, head of operations and head of wealth management since Q4 2019. 

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

Tags: eccleston, eccleston law, wells fargo, restrictions

Return to Archive

TESTIMONIALS

Previous
Next

I am so glad I found you! Wow! I appreciate your help, concern and guidance.

RB

LATEST NEWS AND ARTICLES

October 11, 2024
Macquarie Investment Management to Pay $79.8 Million for Overvalued CMOs and Unlawful Cross Trades

The U.S. Securities and Exchange Commission (SEC) has charged Macquarie Investment Management Business Trust (MIMBT) with overvaluing collateralized mortgage obligations (CMOs) and executing unlawful cross-trades that favored certain clients. 

October 10, 2024
Merrill Lynch and Harvest Volatility Management Fined $9.3 Million for Exceeding Client Investment Limits

According to SEC.gov, the Securities and Exchange Commission (SEC) has charged Merrill Lynch, Pierce, Fenner & Smith Inc., and Harvest Volatility Management LLC for exceeding clients’ designated investment limits, resulting in higher fees, increased market exposure, and financial losses. 

October 9, 2024
Charles Schwab Faces Lawsuit Over Failure to Prevent Elder Fraud in Computer Hack

A new lawsuit claims that Charles Schwab failed to protect an elderly client from a fraudulent scheme that drained her retirement savings.