United States Fourth Circuit

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Morgan Keegan & Company, Inc. v. Silverman, 12-1208

Plaintiff, a member of the Financial Industry Regulatory Authority (FINRA), is not subject to FINRA arbitration proceedings initiated by defendants because defendants were not "customers" of plaintiff, within the meaning of the disputed FINRA Rule, and therefore, were not entitled to invoke the mandatory arbitration provision contained in that Rule, where defendants purchased shares of funds from a third party, through the defendants' securities broker, that were originally distributed and underwritten by plaintiff.

Appellate Information

  • Decided 02/04/2013
  • Published 02/04/2013

Judges

  • KEENAN

Court

  • United States Fourth Circuit

Counsel

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