{"id":8187,"date":"2019-05-20T14:26:56","date_gmt":"2019-05-20T18:26:56","guid":{"rendered":"https:\/\/www.silverlaw.com\/blog\/?p=8187"},"modified":"2019-05-20T14:26:56","modified_gmt":"2019-05-20T18:26:56","slug":"finras-unpaid-arbitration-awards-problem","status":"publish","type":"post","link":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/","title":{"rendered":"FINRA\u2019s Unpaid Arbitration Awards Problem"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-4807 size-medium\" src=\"https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards-300x224.jpg\" alt=\"It seems like a way to get justice against fraud: requesting an arbitration hearing with FINRA after losing money in a fraudulent or shady investment your broker insisted was solid. A defrauded investor then files a complaint with FINRA, who arranges an arbitration hearing, and money damages are awarded to the investor, paid by the broker and\/or the broker dealer.Sounds fair, right?While many investors have been able to recover at least some of their losses, about 25% of these judgments go unpaid. FINRA arbitration panels awarded $84 million to investors in 2017 alone. Of that sum, $21 million of it remains unpaid. So what good is arbitration if you\u2019re still waiting to receive your award from a \u201cdeadbeat?\u201d Most of these awards are against small brokerage firms which are out of business and did not carry insurance.\" width=\"300\" height=\"224\" srcset=\"https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards-300x224.jpg 300w, https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards-161x120.jpg 161w, https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards.jpg 759w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>It seems like a way to get justice against fraud: requesting an arbitration hearing with FINRA after losing money in a fraudulent or shady investment your broker insisted was solid. A defrauded investor then files a complaint with FINRA, who arranges an arbitration hearing, and money damages are awarded to the investor, paid by the broker and\/or the broker dealer.<\/p>\n<p>Sounds fair, right?<\/p>\n<p>While many investors have been able to recover at least some of their losses, <a href=\"https:\/\/www.investmentnews.com\/article\/20190124\/FREE\/190129962\/unpaid-arbitration-awards-stain-the-securities-industry\" target=\"_blank\">about 25% of these judgments go unpaid<\/a>. FINRA arbitration panels awarded $84 million to investors in 2017 alone. Of that sum, $21 million of it remains unpaid. So what good is arbitration if you\u2019re still waiting to receive your award from a \u201cdeadbeat?\u201d Most of these awards are against small brokerage firms which are out of business and did not carry insurance. <a href=\"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/#more-8187\" class=\"more-link\">Continue reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>It seems like a way to get justice against fraud: requesting an arbitration hearing with FINRA after losing money in a fraudulent or shady investment your broker insisted was solid. A defrauded investor then files a complaint with FINRA, who arranges an arbitration hearing, and money damages are awarded to the investor, paid by the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[588,599],"tags":[],"class_list":["post-8187","post","type-post","status-publish","format-standard","hentry","category-finra-arbitration","category-securities-arbitration"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>FINRA\u2019s Unpaid Arbitration Awards Problem &#8212;<\/title>\n<meta name=\"description\" content=\"FINRA has a problem with unpaid arbitration awards. FINRA arbitration panels awarded $84 million to investors in 2017, and $21 million of it remains unpaid.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"FINRA\u2019s Unpaid Arbitration Awards Problem &#8212;\" \/>\n<meta name=\"twitter:description\" content=\"FINRA has a problem with unpaid arbitration awards. FINRA arbitration panels awarded $84 million to investors in 2017, and $21 million of it remains unpaid.\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards.jpg\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Silver Law Group\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"FINRA\u2019s Unpaid Arbitration Awards Problem &#8212;","description":"FINRA has a problem with unpaid arbitration awards. FINRA arbitration panels awarded $84 million to investors in 2017, and $21 million of it remains unpaid.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/","twitter_card":"summary_large_image","twitter_title":"FINRA\u2019s Unpaid Arbitration Awards Problem &#8212;","twitter_description":"FINRA has a problem with unpaid arbitration awards. FINRA arbitration panels awarded $84 million to investors in 2017, and $21 million of it remains unpaid.","twitter_image":"https:\/\/www.silverlaw.com\/blog\/wp-content\/uploads\/2017\/07\/How-FINRA\u2019s-Handling-the-Problem-of-Unpaid-Securities-Arbitration-Awards.jpg","twitter_misc":{"Written by":"Silver Law Group","Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/#article","isPartOf":{"@id":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/"},"author":{"name":"Silver Law Group","@id":"https:\/\/www.silverlaw.com\/blog\/#\/schema\/person\/de64d999508b1ad10d608a99f0d2e752"},"headline":"FINRA\u2019s Unpaid Arbitration Awards Problem","datePublished":"2019-05-20T18:26:56+00:00","mainEntityOfPage":{"@id":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/"},"wordCount":781,"articleSection":["FINRA Arbitration","Securities Arbitration"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/","url":"https:\/\/www.silverlaw.com\/blog\/finras-unpaid-arbitration-awards-problem\/","name":"FINRA\u2019s Unpaid Arbitration Awards Problem &#8212;","isPartOf":{"@id":"https:\/\/www.silverlaw.com\/blog\/#website"},"datePublished":"2019-05-20T18:26:56+00:00","author":{"@id":"https:\/\/www.silverlaw.com\/blog\/#\/schema\/person\/de64d999508b1ad10d608a99f0d2e752"},"description":"FINRA has a problem with unpaid arbitration awards. 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