Nashville, Tennessee – January 2019
Niel Prosser and Kyle Johnson of The Prosser Law Firm recovered almost $1.5 million against First Allied Securities and Larry Boggs following a seven (7) day FINRA arbitration in November/December of 2018.
Claimants, Mike and Nita Snow, alleged that Larry Boggs, their stockbroker affiliated with First Allied Securities, convinced them they could retire years early and still leave a significant legacy to their children. This advice was based on fraudulent financial plans that Mr. Boggs created that, among other things, did not factor in inflation while also assuming an unreasonably high rate of return. These plans centered on the Snows putting over 90% of their net worth in an AIG variable annuity. Based on Mr. Boggs’ financial plans, the Snows left good jobs and retired early to travel and visit family. While their annuity made money, it did not generate the returns Boggs had projected or that would be necessary to sustain them going forward. In fact, the Snows would run out of money long before their projected life expectancy.
The Prosser Law Firm brought a FINRA arbitration against Mr. Boggs and the brokerage firm that was responsible for supervising him – First Allied Securities. The Snows’ claims included breach of fiduciary duty, negligence, negligent supervision, and violation of the Tennessee Consumer Protection Act (“TCPA”). After a seven-day trial, the arbitration panel awarded $1,488,753.53 to the Snows including $500,000 in punitive damages and $410,506 in attorney’s fees/costs. The fully executed FINRA award can be found at this link.
Based in Memphis, Tennessee The Prosser Law Firm specializes in litigation in the financial services industry, representing a full spectrum of clients including investors, financial advisors, and brokerage/investment advisory firms. This case was primarily handled by Firm attorneys, Niel Prosser and Kyle Johnson.