False Statements & Omissions

Nobody can promise you a certain return on an investment. All investments, except those considered risk-free, such as U.S. sovereign bonds, entail a certain risk and have an uncertain rate of return. Whenever your stockbroker is too upbeat and overoptimistic about an investment, he or she might very well be making false statements about a certain security.

In order to get your business, a stockbroker might also omit negative information about a certain stock. For instance, your stockbroker might not tell you that the XYZ Corporation gets, say, 75 percent of its business from The Acme Corporation and is, in effect, one of Acme's subsidiaries; in this case XYZ's stock should reflect the risk of Acme's. An unethical stockbroker might have noticed that Acme is in deep trouble and yet not tell you to stay away from XYZ.

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If you are facing a legal dispute related to your investments, it's in your interest to work with an experienced attorney who can provide you with the advice you need to reach a resolution that reflects your interests. The first step is to meet with a lawyer in person so you can learn more about your legal options.

To schedule an appointment with an attorney at Reasonover & Berg, LLC, call us at 504-613-4941 or contact us online. From our office in New Orleans, we serve clients throughout Louisiana and beyond.

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