Ages Financial Services is a Boston-based broker-dealer that sold the investors the L-Bonds for $246,000. In the claim, the six investors claimed breach of fiduciary duty, suitability, and additional allegations, along with compensatory damages of $648,000. FINRA’s total award came to $1.08 million, including attorneys’ fees and interest.
What Are Emotional Distress Damages In FINRA Arbitration?
Many personal injury claims include requests and damages for “pain and suffering.” This is non-economic damages for the grief caused by an accident that caused a plaintiff to experience financial losses. Similarly, emotional distress damages for an investment claim are awarded to a claimant in arbitration for the grief caused by the loss of their investment.
In many cases, people invested their life savings into GWG L-bonds and were left with not only no investment but considerable grief over their loss. For a retired investor, they have little chance of being able to make that money back. A FINRA claim is their only option, especially when they may receive little to nothing from the company’s bankruptcy. These cases can take an emotional toll on the investor while they wait for the eventual outcome.
While investors frequently request these damages, FINRA rarely awards them. However, punitive damages are frequently available where the facts of the case are unconscionable or otherwise rise to the level where the arbitrators believe punitive damages should be awarded.
Until GWG Holdings declared bankruptcy in 2022, roughly 40 broker-dealers sold nearly $1.6 billion in L-Bonds. These investments were allegedly backed by life insurance policy settlements. After GWG declared bankruptcy, investors were left unable to recover their investments and have tried through arbitration to recover their losses.
Did You Invest In GWG Holdings’ L-Bonds?
Silver Law Group represents investors in securities and investment fraud cases. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide to help recover investment losses due to stockbroker misconduct. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases are handled on a contingent fee basis, meaning that you won’t owe us until we recover your money for you. Contact us today at (800) 975-4345 and let us know how we can help.