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UPDATE: FINRA Arbitration Fee Rate Hike

By Jessica H. Antoniades, Esq. of Shustak Reynolds & Partners, P.C. posted on Tuesday, December 23, 2014.

Jessica H. Antoniades, Esq.

Jessica H. Antoniades, Esq.


Last week brought about an increase to the price of bringing a FINRA arbitration.  Effective December 15, 2014, various fees associated with FINRA arbitration claims increased, including hearing session fees, filing fees and member process fees.   These fee increases affect investors, associated persons, associated and non-associated persons alike.   FINRA has clarified that these increased fees only apply to arbitration cases filed on or after December 15, 2014, so pending cases should not be affected.

The SEC-approved fee hike will cover an increase to the honoraria payments arbitrators receive for serving in FINRA cases, in support of FINRA’s recent efforts to attract and retain qualified arbitrators.  Honoraria payments to arbitrators have not increased in 15 years.   Now, FINRA arbitrators may receive $600 per day for serving in hearing sessions.  On top of that payment, the chairperson may receive an additional $125 per hearing day.

FINRA’s arbitration division is the mandatory forum for most investors who bring claims against brokerage firms, stock brokers and financial advisors.  Most financial advisors and employees of FINRA brokerage firms must bring employment disputes in the FINRA arbitration forum as well.  Our securities and investment attorneys in San Diego, Irvine, San Francisco and New York are highly experienced in handling FINRA customer and employment disputes, as well as FINRA and SEC investigations and enforcement proceedings.

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