In May 2019, a group of former clients of Raymond James & Associates, Inc. won an award in a FINRA arbitration for $1,790,003.17, which included $1.019 in compensatory damages, $200,000 in punitive damages, $422,000 in attorney’s fees, $14,000 in costs, and $31,003.17 in expert witness fees for losses sustained from high risk energy sector losses. The investors were clients of financial advisor Logan Phillips (CRD# 1248589).
The causes of action included fraud; unsuitability; breach of contract; negligence; gross negligence; bad faith; violations of industry rules and regulations. The causes of action relate to Claimants’ penny stock investments in the following companies: CanWest Petroleum Company and Ridgeway Petroleum, Inc. The FINRA arbitration hearing was conducted in Jackson, Mississippi.
Phillips was registered with Raymond James & Associates, Inc. in Jackson, Mississippi from 2013 to 2016, and previously with Morgan Keegan & Company, Inc. in Jackson, Mississippi from 1990 to 2013. Phillips has also been the subject of nine customer complaints between 2009 and 2017, one of which was withdrawn and one was denied, according to his CRD report:
- November 2017. “Claimants allege Respondeat Superior; False Representation; Negligent Misrepresentation; Negligence; Fraud; Breach of Contract; Mississippi Blue Sky Law; Violations of the Mississippi Securities Act of 2010. Activity Date is: 7/2004 through 10/2017.” The case is currently pending.
- June 2017. “Claimants allege: Fraud, Concealment, Unsuitability, Breach of Contract, Negligence, Gross Negligence, Bad Faith and Violations of SEC and FINRA Rules. Date of Activity: 6/2004 thru 6/2013.” The customer is seeking $800,000 in damages and the case is currently pending.
- May 2016. “Claimants allege failure to supervise. Dates of activity are 6/2004 thru 3/01/2016.” The case was settled for $330,550.
- June 2014. “Fraud, breach of fiduciary duty, breach of contract, negligence, gross negligence, and violations of industry rules, federal and state statutory laws, and common law principles.” The customer was awarded $4,498,697 in damages.
- June 2012. “Claim alleges unsuitability with regard to mutual funds purchased between 2002 and 2007.” The customer sought $228,581 in damages and the case was settled for $24,300.
- July 2010. “Claim alleges misrepresentation and unsuitability with regard to mutual funds purchased in 2005.” The customer sought $328,388.24 in damages and the case was settled for $64,780.77.
- February 2010. “Claim alleges misrepresentation and unsuitability with regard to mutual funds purchased between 2004 and 2008.” The customer sought $25,000 in damages and the case was settled for $12,075.05.
Pursuant to FINRA Rules, member firms are responsible for supervising a broker’s activities during the time the broker is registered with the firm. Therefore, Raymond James & Associates, Inc. may be liable for investment or other losses suffered by Phillips’ customers.
Erez Law represents investors in the United States for claims against brokers and brokerage firms for wrongdoing. If and have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations and institutions in claims against brokerage firms, banks and insurance companies on a contingency fee basis.