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