Tuesday, February 23, 2016

Mini-Survey: Customer-Member Punitive Damages in 2015

The Securities Arbitration Commentator has released its 2015 punitive damage award survey. Putting aside the question of whether punitive damages are authorized, or warranted, FINRA arbitrators are making those awards:

"The largest punitive damage award was $1,840,665 in Abel v. Brookville Capital Partners LLC (FINRA ID #13-02540 (NYC, 5/28/15)), followed by $750,000 in Lowery v. John Thomas Financial (FINRA ID #13-02763 (Atlanta, GA)). The median award was $104,000 and the smallest was $15,000. Panels awarded slightly more than $4.6 million altogether ($4,605,586, if you must know), yielding an average* punitive award of $329,000. Interestingly, when arbitrators award punitive damages, they do not necessarily award as much as or a multiple of the compensatory award. Overall, punitives equaled only 28% of the entire damage award and were only 58% the size of the compensatory damage awards."

For the full survey -  Mini-Survey: Customer-Member Punitive Damages in 2015:

No comments: