West Virginia Securities Arbitration and Investment Fraud Attorneys
Sections 101 and 410 of the West Virginia Uniform Securities Act
Have you lost money with a financial advisor in West Virginia? Israels & Neuman are securities arbitration and investment fraud attorneys that represent West Virginia residents who have been wronged by their stockbrokers and brokerage firms. We have previously represented investors throughout West Virginia in FINRA arbitration, including a former coal miner who lost money investing in mutual funds with Ameriprise. Most FINRA arbitration hearings in West Virginia are held in Charleston.
West Virginia residents are protected by the provisions of the West Virginia Uniform Securities Act. This Act provides for the regulation of the sale of securities to West Virginia residents and to West Virginia financial advisors and stockbrokers. Additionally, the West Virginia Securities Division, with offices in Charleston, was created to help enforce the provisions of the West Virginia Securities Act.
Section 101 of the West Virginia Securities Act provides for liability if a financial advisor, stockbroker, or investment advisor misrepresents the risks of an investment to you. In particular, this statute provides that:
- 32-1-101. Sales and purchases.
It is unlawful for any person, in connection with the offer, sale or purchase of any security, directly or indirectly
(1) To employ any device, scheme or artifice to defraud;
(2) To make any untrue statement of a material fact or to omit to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they are made, not misleading; or
(3) To engage in any act, practice or course of business which operates or would operate as a fraud or deceit upon any person.
See W. Va. Code § 32-1-101. Section 410 of the West Virginia Uniform Securities Act further provides civil remedies in the event that the Act is violated:
- 32-4-410. Civil liabilities.
(a) Any person who
(1) Offers or sells a security in violation of section 201(a), 301, 403 or 405(b), or of any condition imposed under section 304(d), 305(g) or 305(h), or
(2) Offers or sells a security by means of any untrue statement of a material fact or any omission to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they are made, not misleading (the buyer not knowing of the untruth or omission), and who does not sustain the burden of proof that he did not know, and in the exercise of reasonable care could not have known, of the untruth or omission, is liable to the person buying the security from him, who may assert a claim in a civil action to recover the consideration paid for the security, together with interest at nine percent per year from the date of payment, costs and reasonable attorneys’ fees, less the amount of any income received on the security, upon the tender of the security, or for damages if he no longer owns the security. Damages are the amount that would be recoverable upon a tender less the value of the security when the buyer disposed of it and interest at nine percent per year from the date of disposition.
If your financial advisor or stockbroker makes misrepresentations to you when selling securities, he or she may be liable for your losses. In addition, the brokerage firm that your advisor works for may also be liable.
Israels & Neuman PLC is a securities arbitration and investment fraud law firm with offices in Denver, Colorado; Ann Arbor, Michigan; and the Seattle area. We represent investors in FINRA arbitration and securities arbitration proceedings in all 50 states, including representing investors previously throughout West Virginia, and in Charleston, Huntington, Morgantown, Parkersburg, Wheeling, Weirton, Martinsburg, Beckley, Clarksburg, and others. Our attorneys have represented over one thousand investors against many brokerage firms in the past.
Click to view: West Virginia Uniform Securities Act – Civil Liabilities
Click to view: West Virginia Uniform Securities Act – Anti-Fraud Provisions
IF YOU ARE A RESIDENT OF WEST VIRGINIA AND HAVE LOST MONEY WITH YOUR FINANCIAL ADVISOR OR INVESTMENT ADVISOR, PLEASE CONTACT ISRAELS & NEUMAN AT (720) 599-3505 FOR A FREE EVALUATION OF YOUR CASE.