Representative Matters
Financial Services Litigation
Mr. Friedman represented:
- One of the largest prime brokers in several industry-wide federal and state lawsuits regarding alleged naked short sales
- A leading futures commission merchant (FCM) in a New York State court litigation brought by a customer alleging that the FCM misrepresented the appropriateness of an investment
- A major clearing broker in several federal lawsuits alleging violations of federal and state securities laws related to short sales of convertible securities
- A plaintiff hedge fund in a case in Delaware Chancery Court of breach of contract and breach of fiduciary duty against an company in which the hedge fund made an investment
- Two plaintiffs—a trustee for a securitized pool of student loans and a mono-line insurer—in a matter in federal court seeking to enforce credit risk insurance policies issued by another issuer
- A plaintiff trustee for commercial mortgage-backed securities in an action in the Southern District of New York against the originator for breach of contract over refusal to repurchase a loan
FINRA and Other Arbitrations
Mr. Friedman provided representation to:
- A broker-dealer in a 92-day FINRA customer arbitration related to the sale of a complex derivative product
- A broker-dealer in multiple FINRA customer arbitrations related to the sale of variable annuities; after achieving a favorable result in a 13-day FINRA arbitration, the remaining cases were settled
- A large broker-dealer in several FINRA arbitrations regarding alleged sales practice violations, including suitability, unauthorized trading and churning, and failure to supervise
- A midsize broker-dealer in a FINRA arbitration brought by a hedge fund concerning losses from a leveraged options trading strategy
- A clearing broker in several FINRA arbitrations brought by customers of its introducing brokers
- Clearing brokers in arbitrations with former introducing firms related to the deconversion of the introducing firm
- An FCM in a National Futures Association (NFA) customer arbitration regarding alleged breach of contract, fraud, unauthorized trading, and failure to supervise
Employment Matters
Mr. Friedman represented:
- A midsize investment bank in a FINRA arbitration hearing with a former employee regarding an alleged guaranteed bonus
- A large broker-dealer in a FINRA arbitration with a former employee concerning incentive compensation
- A primary dealer in a FINRA arbitration with an employee who was terminated for cause
Bankruptcy Matters
Mr. Friedman provided representation to:
- A broker-dealer in connection with the bankruptcy of a repurchase agreement counterparty and the resulting investigation by the bankruptcy trustee
- A broker-dealer in connection with disputed funds arising out of the bankruptcy of a New York-based financial services company
- An FCM in connection with a significant margin call for a bankrupt foreign client
- The bankruptcy trustee of a major hospital chain in actions against various insurance companies related to their attempt to rescind D&O policies
Significant General Commercial Litigation Matters
Mr. Friedman represented:
- A Japanese trading house, as claimant, in an American Arbitration Association (AAA) arbitration involving the breach of supply contracts for wood chips
- A luxury watch distribution business in multiple international arbitration hearings with the manufacturer over its termination of the distribution agreement
- A leading media company in a trial in New York Supreme Court against a construction manager, an architect, and others related to construction defects at a large facility
- A major worldwide telecommunications company in a dispute with an acquired company related to an alleged breach of representations and warranties in a merger agreement
- Franchisees in several disputes with their franchisor in AAA arbitrations
Regulatory Matters and Internal Investigations
Mr. Friedman provided representation to:
- A major retail and institutional broker-dealer in an investigation by FINRA and the Securities and Exchange Commission (SEC) of email retention practices
- A retail broker-dealer in an investigation by FINRA of email retention practices
- A major broker-dealer in an investigation by the SEC of an alternative trading system
- A major broker-dealer in an investigation by FINRA of an alternative trading system
- A major broker-dealer in an investigation by FINRA of compliance with rules regarding the sale of municipal securities
- A mid-size broker-dealer in an investigation by FINRA of compliance with Regulation SHO and policies and procedures regarding electronic market access
- A leading national bank in an investigation by the Commodity Futures Trading Commission (CFTC) of segregated accounts
- A major FCM in an investigation by the CFTC of large trader reporting
- An FCM in an investigation by the CFTC of swaps trading practices
- A swap dealer in an investigation by the CFTC and the NFA of trade reporting
- A swap dealer in an investigation by the CFTC and the NFA of record retention
- A leading FCM in an investigation by the CFTC of commodity index activities
- An individual executive in connection with an NFA regulatory proceeding and her withdrawal of registration
- Firms and individuals in several investigations by exchanges for alleged rule violations
- Broker-dealers and FCMs in several internal investigations related to allegations of potential regulatory violations and/or violations of company policy