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Law Firm Launches Investigation of non-traded REIT recommendations — LPLA

Beverly Hills based securities lawyers launch of an investigation of the sales practices of LPL Financial, LLC in recommending non-traded REITs to their clients.  The investigation follows the recently filed complaint by the Commonwealth of Massachusetts Securities Division into similar non-traded REIT sales practices.  The Massachusetts complaint charged LPL with dishonest and unethical business practices.

“The Massachusetts complaint offers a behind the scenes look at business practices allegedly engaged in by LPL,” said attorney Ryan K. Bakhtiari.  “Investors should consider all of their options if they have suffered losses in non-traded REITs sold by their brokerage firm.”

The Massachusetts complaint focused on seven non-traded REIT products:

  • Inland American
  • Cole Credit Property Trust II, Inc.
  • Cole Credit Property Trust III, Inc.
  • Cole Credit Property 1031 Exchange
  • Wells Real Estate Investment Trust II, Inc.
  • W.P. Carey Corporate Property Associates 17
  • Dividend Capital Total Realty

The individual brokers and advisors who sold non traded REITs are not targets of this investigation.

The firm represents retail and institutional investors around the world in securities arbitration and litigation matters.  Attorneys for the firm have appeared before the Financial Industry Regulatory Authority (FINRA) and in numerous state and federal courts to resolve financial disputes between customers, banks, brokerage firms and other financial institutions.

FINRA arbitration is a dispute resolution process offered by the Financial Industry Regulatory Authority (FINRA) to resolve conflicts between investors, brokerage firms, and individual brokers. Unlike traditional court litigation, arbitration is typically faster and less formal. In this process, an impartial arbitrator or a panel of arbitrators listens to both parties’ arguments and evidence before making a binding decision. This method is often chosen for its efficiency and lower costs, making it an attractive option for investors seeking resolution without the complexities of a court trial. The arbitration process is governed by specific rules and procedures, ensuring a fair and equitable hearing. While the decision is final and generally cannot be appealed, parties can still settle the dispute before the arbitration concludes. FINRA arbitration serves as a crucial mechanism in maintaining market integrity and protecting investors’ rights.