Practice Areas

Representation For Investors Harmed By Misrepresentations And Omissions

Stockbrokers must truthfully disclose all material information, including the risks associated with the investments he or she is recommending. A fact is deemed material if it is one which a reasonable investor would want to consider when making an investment decision.

Concealing the true risk or failing to disclose important information — for example, that the company has not earned a profit in the past three quarters — are examples of material omissions.

Misrepresentations often involve unrealistic rates of return, and omissions fail to disclose the risks or other negative information associated with a particular investment or investment strategy.

We Have Decades Of Experience Protecting The Rights Of Investors

If you believe that your stockbroker or financial adviser misrepresented an investment or strategy to you or wish to learn more about broker misconduct, it's important to contact an experienced lawyer who can advise you of your legal rights. At Mihalek Law, our attorneys have more than 50 years of combined experience protecting the rights of investors. With a background on Wall Street and a current office in Lexington, Kentucky, we are well-suited to represent clients throughout the country.

Is Your Investment Too Good To Be True?

A broker's failure to disclose all material information can constitute grounds for recovery of losses suffered as a direct result of the broker's misrepresentations or omissions.

For example, we recently represented several clients who were sold 100 percent Principal Protected Notes in FINRA Arbitrations. The product's name indicated that the investment was 100 percent protected against loss of principal. However, many investors were not told that the 100 percent principal protection notes were nothing more than unsecured bonds of the issuing corporation, which became essentially worthless when the issuing corporation filed for bankruptcy.

Contact Us If You Have Been The Victim Of Fraudulent Misrepresentation

A stockbroker or financial adviser has a legal duty to disclose all material features of an investment. There is also a prohibition against "guaranteeing" an investment against loss. If you were the victim of misrepresentations or omissions in connection with an investment transaction, contact us to learn about your legal rights. Our attorneys are available for free consultations and can be reached through our contact form or by calling 800-783-1413.