Soreide Law Group Wins FINRA Award in Favor of Heirs Recovering 100% Against Morgan Stanley Smith Barney

Soreide Law Group, PLLC, was notified by FINRA today that the clients they represented against Morgan Stanley Smith Barney, LLC (“MSSB”) were awarded 100% of compensatory damages, in addition to expert fees, pre-judgment interest, and costs.

In a published FINRA award, case number 10-02604, Attorney Lars Soreide, recovered for his clients, who were the heirs and trustees to their late father’s estate, 100% of the damages caused by MSSB for not allowing their clients to roll over their late father’s minimum distribution back into his 401K which resulted in unnecessary tax consequences. This case offers precedential value for future FINRA arbitrations that relate to unnecessary tax consequences incurred by brokerage firm’s negligent or non compliant policies or procedures that result in unnecessary tax consequences to their clients.

The Claimants, who were acting in their capacities as trustees, were improperly barred from rolling over their late father’s IRA distribution. The Claimants argued that a trustee upon death, steps into the shoes of the decedent, and can do for the decedent everything the decedent could have done if alive. As authority for this proposition, Claimant’s attorney Lars Soreide, cited Gunther v. United States, 573 F. Supp. 126 – United States District Court, W.D. Michigan (1982). Claimants’ expert witness was Gary Sellari of Divine Blaclock Martin and Sellari and all expert witness fees were awarded back to Claimants in addition to pre-judgment interest dating back to Nov., 2009.

For more information on Lars Soreide, Soreide Law Group, PLLC, this case, or other securities related claims please visit https://www.securitieslawyer.com or call 888-760-6552. Soreide Law Group, PLLC, representing investors nationwide.

Recent Posts

August 3, 2026

BZAI Broker Losses: When a Broker's Recommendation May Lead to a FINRA Claim

Artificial intelligence stocks have attracted tremendous investor interest, but many emerging AI companies also carry significant risk. If your financial advisor recommended shares of Blaize Holdings, Inc. (NASDAQ: BZAI) without fully explaining those risks, you may have options to recover your investment losses through FINRA arbitration. Blaize Holdings develops edge AI computing technology for commercial […]

August 2, 2026

Phoenix American Hospitality and the SEC's $86 Million Hotel REIT Case: What Investors Should Know

Federal regulators have settled fraud charges against Phoenix American Hospitality, a Dallas-based manager of hotel investment funds, and its president, William Lee "Perch" Nelson. According to the Securities and Exchange Commission (SEC), the company raised approximately $86 million from more than 2,000 retail investors. They allegedly made false statements about the funds' hotel holdings and […]

July 30, 2026

JOHN L ALEX of MORGAN STANLEY

JOHN LAWRENCE ALEX (JOHN L ALEX) has been registered both as a broker and financial advisor with MORGAN STANLEY of Morristown, New Jersey, since11/15/2011. According to FINRA’s BrokerCheck, available to the public on FINRA’s website, JOHN L ALEX has 36 years of experience in the securities industry and has been registered with 4 firms. Alex […]

Contact us Nationwide USA

2401 E. Atlantic Blvd., Suite 305, Pompano Beach, FL 33062

Phone: 1-888-760-6552
Fax: 1-954-760-6553
Email: info@securitieslawyer.com

Helping clients recover money across the USA