Jan. 17, 2022 — Maurice Wutscher attorney Brady Hermann was quoted in a recent AdvisorHub article about promissory note cases involving brokers who leave for competing firms and the risks brokers face in fighting them.
“It’s not uncommon for a departing broker to try to extricate themselves from note obligations, even though counterclaims are rarely successful and often lead to a broker paying more than if they had reached an agreement with their firm when they left,” Mr. Hermann said.
“’These tend to be very clear cut cases and usually result in the broker being liable for significantly more than the outstanding balance on the note since arbitration panels typically award firms interest, costs and attorneys’ fees pursuant to the terms of the promissory notes,’” he said.
Brady Hermann is senior counsel in the Boston and New York offices of Maurice Wutscher LLP. He regularly represents financial services companies including banks, broker-dealers, financial advisors, financial asset buyers and third party debt collectors in individual, class action and regulatory matters. He has successfully represented clients throughout the country against claims for violations of securities laws, the Fair Debt Collection Practices Act, the Telephone Consumer Protection Act, the Fair Credit Reporting Act, and various state consumer protection statutes.