Archive for the ‘Legislation’ Category

Supreme Court Sides with Wall Street Against Main Street

Saturday, January 19th, 2008

With less than a year until the elections of 2008, the Supreme Court’s decision in Stoneridge Investment Partners v. Scientific Atlanta shows the importance of electing legislators and a president who understand that protecting Main Street is more important than protecting Wall Street.  (more…)

FINRA’s New Expungement Rule

Thursday, December 27th, 2007

The Financial Industry Regulatory Authority has approved a rule that will make it tougher for stockbrokers to whitewash their records.  As reported in the New York Times, and covered on Investor’s Watchblog, for two decades many customer complaints have not been added to stockbrokers’ records.  That is because brokers were allowed to negotiate for expungement of their record as a condition of settlement.  Expungement does not mean that a broker is innocent of the charges made by the customer.  It means only that the firm thought it important to keep the broker’s record clean so that he or she can continue to attract customers.  (more…)

NASAA Supports the Arbitration Fairness Act of 2007

Wednesday, December 26th, 2007

On December 12, 2007, Tanya Solov, Director of the Illinois Securities Department, testified before a Senate Committee considering Senate Bill 1782, the Arbitration Fairness Act of 2007.  All investors should support this bill, which restores Americans’ constitutional right to take a dispute to the civil justice system.   

Since the Supreme Court’s decision in Shearson/American Express Inc. v. McMahon, 482 U.S. 220 (1987), American investors have been forced to play on the securities industry’s home turf in the event of a dispute, arbitrating in a system operated by FINRA.  Proving the unfairness of forcing investors into the securities industry’s stadium, Solov testified: (more…)