J.R. Ewing would have been all smiles.
Larry Hagman, who portrayed the rich fictitious oil baron Ewing in the CBS cult TV show “Dallas,” won an arbitration panel ruling in a securities case against a unit of Citigroup that will earn him $1.1 million and $10 million in punitive damages for charities of his choosing, the Wall Street Journal reported Friday.
The financial services giant also has to pick up $440,000 in legal fees and $20,000 in arbitration costs, according to the report.
In a May 2009 claim, Hagman alleged breach of fiduciary duty and civil fraud, among other things, related to securities held in Citigroup accounts and the purchase of a life insurance policy, the Journal said.
Citgroup told the Journal it disagrees with the ruling and is reviewing its options. Hagman’s lawyer declined comment, the paper said.
FINRA arbitration is a dispute resolution process administered by the Financial Industry Regulatory Authority (FINRA). It provides a forum for resolving monetary disputes between investors and securities firms or brokers without going to court. The process is generally faster and less formal than traditional litigation, and decisions are made by a panel of arbitrators who are knowledgeable in securities law and industry practices. Arbitration through FINRA is binding, meaning the decision is final and enforceable in court. This process is commonly used for disputes involving investment losses, unsuitable recommendations, or misrepresentation. Investors must agree to arbitration in their brokerage agreements, often as a condition of opening an account. While arbitration can be a more efficient way to resolve disputes, it also has limitations, such as limited appeal options and potentially high costs. Despite these challenges, FINRA arbitration remains a crucial mechanism for investor protection and dispute resolution in the securities industry.