What is FINRA arbitration?

FINRA arbitration is a method of resolving disputes between investors and brokerage firms or financial advisors outside the court system. It involves a neutral third party, an arbitrator, who reviews the case and makes a binding decision.

Why choose arbitration over litigation?

Arbitration is typically faster, less formal, and more cost-effective than litigation. It also provides a final resolution to disputes, with limited grounds for appeal. Most relationships with financial advisors are formalized by entering into a contract which contains a dispute resolution clause. Nationally, most dispute resolution clauses provide for FINRA arbitration.

Who can file a FINRA arbitration claim?

Investors, brokerage firms, and financial advisors can file a FINRA arbitration claim if they have a dispute related to securities or investment activities. FINRA arbitration is normally the forum for disputes among registered persons, brokerage firms and the public customer clients of the firms.

How do I start the FINRA arbitration process?

To start the arbitration process, Bakhtiari & Harrison will file a Statement of Claim with FINRA, detailing the nature of the dispute, the parties involved, and the relief sought.

What is a Statement of Claim?

A Statement of Claim is a written document submitted by the claimant outlining the facts of the dispute, legal claims, and the desired outcome.

What happens after filing the Statement of Claim?

After filing, the respondent has 45 days to answer the Statement of Claim. The answer must address the claims and may include counterclaims or other relief sought.

What fees are involved in FINRA arbitration?

Fees include filing fees, hearing session fees, and possibly member surcharges or process fees, depending on the specifics of the case.

Can I represent myself in FINRA arbitration?

Yes, you can represent yourself, but many choose to hire an attorney with experience in securities arbitration due to the complexity of the process. Investors and industry professionals who choose to represent themselves do so at a substantial disadvantage, Wall Street firms typically retain experienced professional counsel to represent their interests.

How are arbitrators selected?

Arbitrators are selected through the Neutral List Selection System (NLSS), which provides a list of potential arbitrators. Both parties rank and strike names to agree on a panel.

What qualifications do FINRA arbitrators have?

FINRA arbitrators include attorneys, accountants, financial professionals, and public members who have undergone training and meet FINRA’s qualification standards.

How long does the arbitration process take?

The process typically takes 12-18 months from filing to the final award, but this can vary based on case complexity and scheduling. Preference may be given to investors that are seriously ill or elderly.

What is a prehearing conference?

A prehearing conference is a meeting between the parties and the arbitrators to discuss procedural issues, set a schedule, and address preliminary matters including final FINRA arbitration hearing dates.

What is discovery in arbitration?

Discovery is the exchange of documents and information between the parties to prepare for the hearing. It is more limited than in litigation.

What happens during the arbitration hearing?

During the hearing, both sides present evidence, call witnesses, and make arguments. The arbitrators then deliberate and render a decision.

Is the arbitration hearing open to the public?

No, arbitration hearings are private and confidential. Only the parties, their representatives, and the arbitrators may attend.

Can I settle my case before the hearing?

Yes, parties can settle at any time before the arbitrators render a decision, often through negotiation or mediation.

What is mediation in the context of FINRA arbitration?

Mediation is a voluntary process where a neutral mediator helps the parties negotiate a settlement. It is separate from arbitration and non-binding.

What happens if I lose in arbitration?

If you lose, the arbitrator’s decision is final and binding. There are limited grounds for challenging the award in court.

Can I appeal an arbitration decision?

Generally, you cannot appeal an arbitration decision. However, you can seek to vacate the award on very narrow grounds, such as arbitrator misconduct.

What types of disputes are resolved through FINRA arbitration?

Disputes include claims of fraud, breach of fiduciary duty, negligence, breach of contract, and other issues related to securities and investments.

How are damages determined in arbitration?

Damages are determined based on the evidence presented, including financial records, expert testimony, and the specifics of the case.

Can arbitrators award attorney’s fees?

Arbitrators can award attorney’s fees if provided for by law, contract, or if both parties request it.

How do I enforce an arbitration award?

An arbitration award can be enforced in court through a confirmation process, making it a judgment that can be collected.

What is expungement in FINRA arbitration?

Expungement is the process of removing information from a broker’s record on the Central Registration Depository (CRD) system. It is only granted under specific conditions.

What are the grounds for vacating an arbitration award?

Grounds for vacating an award include arbitrator bias, fraud, corruption, or misconduct, as well as exceeding their powers.

Are arbitration awards public?

Yes, arbitration awards are published on FINRA’s website, providing transparency and access to past decisions.

What is the role of the Office of Dispute Resolution?

The Office of Dispute Resolution administers arbitration and mediation cases, ensuring that the process runs smoothly and efficiently.

What is a Simplified Arbitration?

Simplified Arbitration is for cases involving claims of $50,000 or less, allowing for a quicker and less expensive resolution without a hearing.

Can I request an expedited hearing?

Yes, in certain circumstances, such as elderly or seriously ill parties, you can request an expedited hearing.

What is the role of an arbitrator?

An arbitrator acts as a neutral decision-maker, reviewing evidence, hearing testimony, and issuing a binding decision on the dispute.

How do I prepare for an arbitration hearing?

Preparation involves gathering evidence, preparing witnesses, and developing a clear case strategy to present to the arbitrators.

What types of evidence are admissible in arbitration?

Evidence can include documents, emails, financial records, expert reports, and witness testimony, subject to the arbitrators’ discretion.

Can I request documents from the other party?

Yes, through the discovery process, you can request relevant documents and information from the other party to support your case.

How does FINRA handle conflicts of interest with arbitrators?

FINRA requires arbitrators to disclose any potential conflicts of interest, and parties can object to arbitrators they believe are biased.

What happens if a party does not comply with discovery?

If a party does not comply, the other party can file a motion to compel, asking the arbitrators to order compliance and possibly impose sanctions.

What is a motion in arbitration?

A motion is a formal request for the arbitrators to make a ruling on a specific issue, such as compelling discovery or dismissing a claim.

Can I request interim relief in arbitration?

Yes, you can request interim relief, such as temporary restraining orders or injunctions, to preserve the status quo pending the final decision.

How are hearing locations determined?

Hearing locations are typically determined by the location of the claimant unless both parties agree to a different venue.

What is a telephonic or virtual hearing?

Telephonic or virtual hearings are conducted via phone or video conference, allowing parties to participate remotely.

How are arbitration awards paid?

Awards are typically paid by the losing party within 30 days of the decision, unless otherwise specified by the arbitrators.

What if the losing party does not pay the award?

If the losing party does not pay, you can seek enforcement through the courts, turning the award into a legally enforceable judgment.

Are there any limits on the types of claims I can bring in arbitration?

FINRA arbitration covers a broad range of claims related to securities, but there are some statutory and regulatory limits on certain types of claims.

Can I bring a class action in FINRA arbitration?

No, class actions are not permitted in FINRA arbitration. However, you can join other claimants in a single arbitration if the claims are similar.

What is the role of expert witnesses in arbitration?

Expert witnesses can provide specialized knowledge and opinions to help explain complex financial issues to the arbitrators.

How are hearing dates scheduled?

Hearing dates are scheduled based on availability of the parties and arbitrators, with consideration for the complexity of the case.

Can I request a different arbitrator if I believe one is biased?

Yes, you can challenge an arbitrator if you believe they have a conflict of interest or bias that affects their impartiality.

What is a “chairperson” in a FINRA arbitration panel?

The chairperson is the lead arbitrator who manages the procedural aspects of the case and ensures the hearing runs smoothly.

How does FINRA ensure fairness in arbitration?

FINRA has rules and procedures in place to ensure a fair and impartial process, including arbitrator training and disclosure requirements.

How do I learn more about the FINRA arbitration process?

For more information, you can visit FINRA’s website, contact their Office of Dispute Resolution, or consult with experienced attorneys like those at Bakhtiari & Harrison.

How can Bakhtiari & Harrison help with FINRA arbitration?

Bakhtiari & Harrison can assist with filing claims, responding, selecting arbitrators, discovery, hearings, and ensuring the best possible outcome through skilled representation and strategic advice.

Morgan Stanley Wrongful Termination

Imagine pouring your heart into your career at Morgan Stanley, only to find yourself out of a job for reasons that don’t add up. Maybe it’s because of your race, gender, age, or religion—or perhaps you spoke up about harassment and paid the price. A Wall Street Journal article from March 17, 2025, shed light on lawsuits from both Black and white employees who say the firm’s diversity, equity, and inclusion (DEI) efforts created a mess of discrimination and division. Meanwhile, current workers describe a workplace where sexual harassment, racial profiling, and other mistreatment go unchecked and firms engage in wrongful termination.

This isn’t just a news story—it’s a wake-up call for anyone in the securities industry who’s been wronged. Losing your job unfairly or enduring a hostile environment isn’t just a professional setback; it’s a personal blow that can shake your confidence, drain your finances, and leave you questioning your worth.

At Bakhtiari & Harrison, we’ve seen it happen too often, and we’re here to help you turn the tables. Whether you’re a former broker seeking justice or a current employee tired of harassment, this blog is your guide. We’ll explain what wrongful termination means, walk through actual examples tied to Morgan Stanley, and give you a clear plan to fight back using tools like FINRA arbitration or other legal paths. Let’s dive in and reclaim what’s yours.

Table of Contents

What Does Wrongful Termination Mean?

Wrongful termination occurs when an employer fires someone for reasons that break the law or violate an agreement. It covers situations like:

Discrimination: Being let go because of race, gender, age, religion, or ethnicity.
Retaliation: Getting fired for reporting illegal behavior, like harassment or fraud, often shielded by whistleblower protections.
Contract Issues: Termination that ignores a written or implied employment deal.
Public Policy Violations: Firing someone for refusing to do something unethical or illegal.

For example, if a Morgan Stanley employee is dismissed after flagging sexual harassment, that could be a wrongful termination. The law offers options—think compensation for lost wages, damages for distress, or even getting your job back—through channels like FINRA arbitration or lawsuits.

Trapped by Injustice at Morgan Stanley

Let’s paint the picture. You’re a hardworking Morgan Stanley broker, maybe in wealth management or institutional securities. You’ve built a solid track record—clients trust you, your numbers are substantial, and you’re a team player. Then, one day, you’re called into an office and told your role is “no longer needed.” The explanation feels hollow. Maybe it’s because you’re over 40 and they want younger faces. Perhaps it’s your gender or ethnicity clashing with some unspoken diversity goal. Or worse—you reported a colleague’s inappropriate comments or a manager’s shady dealings, and now you’re out the door.

The Wall Street Journal piece backs this up. Black employees sued, claiming they were hired into dead-end roles or paid less than white peers despite equal work. White staff, like Kevin Meyersburg, alleged they were pushed out to hit DEI targets, even after glowing reviews. Current workers tell darker tales: sexual harassment brushed off, racial slurs ignored, or religious jabs shrugged away. The fallout hits hard—bills pile up, your family feels the strain, and you’re left wondering if years of dedication meant nothing.

This isn’t just about losing a paycheck; it’s about losing trust. You’re angry, confused, and maybe a little scared. But here’s the truth: you’re not powerless. You’re the hero in this story; this struggle is just the start of your comeback. Whether you’re a past employee wronged by Morgan Stanley or a current one fighting harassment, you’ve got a shot at justice—and we’re here to help you take it.

How Bakhtiari & Harrison Can Help

At Bakhtiari & Harrison, we’ve walked this road with plenty of folks in your shoes. We know the sting of being fired unfairly or the dread of entering a hostile workplace daily. We’ve seen how Morgan Stanley’s internal battles—DEI gone wrong, harassment swept under the rug—leave good people battered. But we’ve also seen the other side: the relief of winning a case, the satisfaction of holding a big firm accountable, and the peace of moving forward.

Our team has a deep understanding of employment law and the financial industry. We’ve handled cases involving wrongful termination, sexual harassment, racial profiling, and whistleblower retaliation, often through FINRA arbitration—a process tailored for securities disputes. We’ve helped employees recover lost income, secure damages for emotional harm, and even push for workplace changes. What drives us? A belief that no one should lose their career to discrimination or silence.

We’re not here to overwhelm you with jargon or empty promises. We’re your ally, ready to listen, break down your options, and build a plan that fits your situation. Whether it’s navigating Morgan Stanley legal recourse or standing up to workplace discrimination, we’ve got your back with years of experience and a commitment to getting results.

How to Seek Justice Step by Step

Ready to take control? Here’s a detailed plan to fight wrongful termination or harassment at Morgan Stanley:

Collect Your Proof
Start by gathering everything that backs your story. Dig up emails where a manager hints at bias—maybe a comment about your age or a diversity quota. Keep performance reviews that show you were doing well before the axe fell. Write down dates and details of harassment: who said what, when, and who else saw it. If coworkers can vouch for you, ask them to jot down what they witnessed. This isn’t just paperwork—it’s your ammunition.
Talk to Us
Reach out to Bakhtiari & Harrison for a no-cost consultation. Tell us what happened—were you fired after reporting harassment? Did racial profiling play a role? We’ll go through your evidence, explain your rights under employment law, and map out your next steps. No guesswork, just a clear path forward based on what you’re facing.
Launch Your Claim
We’ll figure out the best place to start. For discrimination, it might mean filing with the Equal Employment Opportunity Commission (EEOC) first. For securities individuals, FINRA arbitration is often the way to go—quick and binding. In FINRA arbitration, we can also request an amendment to the disclosure on your Form U5, which states the reason for your termination, and seek to have the matter expunged. This step ensures the wrongful termination doesn’t haunt you when applying to other firms, keeping your career prospects intact. We’ll handle the forms, deadlines, and details so you don’t miss a beat. Time’s ticking—some claims have limits as short as 180 days—so don’t wait.
Use FINRA Arbitration
FINRA arbitration is a big deal in the financial world. It’s faster than court, less costly, and designed for disputes like wrongful termination or harassment in the securities industry. We’ll prep your case, present your evidence, and argue for you before a panel. We’ve guided clients to solid wins here—money, reinstatement, you name it—and we’ll aim for that with you.
Claim Your Victory
What’s the goal in a wrongful termination? Maybe it’s a payout to cover lost wages and the stress you’ve endured. Could be getting your job back after a wrongful termination, proving they can’t push you out. Or it’s bigger—forcing Morgan Stanley to rethink policies so others don’t suffer. Whatever you’re after, we’ll push hard to make it happen. Employment law, wrongful termination and whistleblower protections give you leverage, and we’ll use it.

Don’t let deadlines slip by. The sooner you act, the stronger your case. Let’s get moving.

Reach Out for a Free Consultation

Time’s not on your side—legal windows close fast. If you’re a current or former Morgan Stanley employee dealing with wrongful termination or sexual harassment, pick up the phone or send us an email. Bakhtiari & Harrison offers a free consultation to hear you out and kick things off. With our background in FINRA arbitration, wrongful termination and workplace discrimination, we’re ready to fight for your employee rights. Don’t let Morgan Stanley off the hook for wrongful termination—reach out today.

What Justice Looks Like

Close your eyes and think about this: a FINRA arbitration ruling lands in your favor, and you’re awarded enough to replace lost income and ease the pain. Or maybe Morgan Stanley has to bring you back, admitting they were wrong. Imagine the firm changing its ways—less harassment, fairer treatment—because you stood up. That’s not a pipe dream; it’s what we’ve helped others achieve.

Victory could mean cash in your pocket, your career back on track, or just knowing you made a dent in a giant’s armor. Whistleblower protections keep you safe from revenge, and our team keeps the pressure on. Picture the relief, the pride, the fresh start. That’s what we’re chasing together.

Stand Up Today: Don’t Let Morgan Stanley Win

You didn’t sign up for this—wrongful termination, sexual harassment, or workplace discrimination shouldn’t be part of anyone’s job at Morgan Stanley. Whether you’re a past employee fired for the wrong reasons, or a current one fed up with a toxic environment, you’ve got rights. Legal recourse isn’t a fantasy—it’s a real option, and Bakhtiari & Harrison is here to make it happen.

We’ve got years handling financial industry disputes, from diversity, equity, and inclusion claims to retaliation cases. We know wrongful termination and employment law and how to use it for you. Don’t let injustice have the last word. Contact us for a free consultation, and let’s build your case. Your fight starts now—let’s win it.