New York Securities Lawyer Blog
On November 16, 2023, the United States District Court for the Southern District of New York entered judgment on a FINRA Arbitration Award against Credit Suisse Securities (USA) LLC, ordering it to pay more than $1.3 million to an investment advisor formerly employed by its now-closed US private bank. See Opinion and Order here.
The claimant and nearly fifteen hundred other employees were terminated when Credit Suisse announced it was closing its US private bank in October 2015. Credit Suisse unlawfully refused to pay $245 million in deferred compensation it owed to the advisors and claimant, like dozens of his colleagues, brought claims for breach of contract, breach of the implied covenant of good faith and fair dealing, fraud, and unjust enrichment. On February 02, 2023, a three-member FINRA Arbitration Panel found for the adviser and ordered Credit Suisse to pay claimant the full amount of his deferred compensation and prejudgment interest.
Credit Suisse moved to vacate in the Southern District. The Court denied the motion, confirmed the award and entered judgment.
Credit Suisse has now been ordered to pay deferred compensation that it indisputably owed to investment advisors whom it indisputably terminated by thirty-four FINRA arbitrators, two federal judges, three justices of the Commercial Division of the New York Supreme Court, the California Superior Court, the Illinois Court of Chancery, a unanimous panel of the New York Appellate Division, and the New York Court of Appeals.
To date, Lax & Neville LLP has won more than $35 million in compensatory damages, interest, costs, and attorneys’ fees on behalf of former Credit Suisse investment advisers. To discuss these matters, please contact Barry R. Lax, Brian J. Neville, Sandra P. Lahens or Robert R. Miller at (212) 696-1999.