Is arbitration the right forum for settling disputes between investors and their brokers?
For investors, arbitration is fairer, faster, and cheaper than going to court. Slightly more than half of all arbitration cases are decided in the investor’s favor. In 2002, 55 percent of NASD’s arbitration cases resulted in awards to investors, totaling more than $139 million. The average turnaround time for an NASD arbitration case is 13.7 months – litigation can stretch on for years. Also, Arbitration fees are minimal when compared to court costs. Further information on the arbitration process can be found here: http://archives2.sifma.org/press/pdf/ArbitrationTalkingPoints2003.pdf http://www.sec.gov/answers/arbproc.htm http://www.nasdadr.
Related Questions
- What arrangements are there for settling disputes about the selling price, about the price of re-leasing or about other similar costs when I leave the village?
- Does the Division provide a forum for the arbitration of disputes regarding securities transactions?
- Is arbitration the right forum for settling disputes between investors and their brokers?
