Allegations – THE [CUSTOMER] ARBITRATION CONCERNED CERTAIN LIMITED PARTNERSHIP INVESTMENTS THAT THE [CUSTOMERS] PURCHASED DURING THE PERIOD FROM 1986 THROUGH 1991. THESE LIMITED PARTNERSHIPS TOTALED APPROXIMATELY $712,000.00. THE [CUSTOMER] STATEMENT OF CLAIM ALLEGED THAT I, AND MY FORMER BROKER DEALER KAVANAUGH SECURITIES, AND THEN PRESENT BROKER DEALER, COMMONWEALTH EQUITY SERVICES, INC. HAD ENGAGED IN A VARIETY OF BAD ACTS, INCLUDING BREACH OF CONTRACT, BREACH OF FIDUCIARY DUTY, COMMON LAW FRAUD, FAUDULENT MISREPRESENTATION, NEGLIGENCE MISREPRESENTATIONS, SECURITIES BROKERAGE MALPRACTICE, UNSUITABILITY ACUTAL AUTHORITY, APPARENT AUTHORITY, IMPLIED AUTHORITY AND RESPONDENT SUPERIOR. [CUSTOMERS] ALLEGD ACTUAL OUT-OF-POCKET DAMAGES IN THE AMOUNT OF $500,000.00 AND SOUGHT ADDITIONAL COMPENSATORY DAMAGES (INCLUDING LOST OPPORTUNITY, EMOTIONAL HARM, LOST INTEREST, NASD FILLING, FORM AND ARBITRATORS’ FEES AND THE COST OF THE PROCEEDING) IN THE AMOUNT OF $250,000.00.

Damage Amount Requested – $1,500,000.00

Damages Granted – $101,000.00

Broker Comment – AFTER A 24-SESSION HEARING, THE ARBITRATION PANEL AWARDED THE [CUSTOMERS] AN AMOUNT OF $101,000.00. THE ARBITRATION PANEL ENTERED THAT ORDER AGAINST ME.

Allegations – THE [CUSTOMER] ARBITRATION CONCERNED CERTAIN LIMITED PARTNERSHIP INVESTMENTS THAT THE [CUSTOMERS] PURCHASED DURING THE PERIOD FROM 1986 THROUGH 1991. THESE LIMITED PARTNERSHIPS TOTALED APPROXIMATELY $712,000.00. THE [CUSTOMER] STATEMENT OF CLAIM ALLEGED THAT I, AND MY FORMER BROKER DEALER KAVANAUGH SECURITIES, AND THEN PRESENT BROKER DEALER, COMMONWEALTH EQUITY SERVICES, INC. HAD ENGAGED IN A VARIETY OF BAD ACTS, INCLUDING BREACH OF CONTRACT, BREACH OF FIDUCIARY DUTY, COMMON LAW FRAUD, FAUDULENT MISREPRESENTATION, NEGLIGENCE MISREPRESENTATIONS, SECURITIES BROKERAGE MALPRACTICE, UNSUITABILITY ACUTAL AUTHORITY, APPARENT AUTHORITY, IMPLIED AUTHORITY AND RESPONDENT SUPERIOR. [CUSTOMERS] ALLEGD ACTUAL OUT-OF-POCKET DAMAGES IN THE AMOUNT OF $500,000.00 AND SOUGHT ADDITIONAL COMPENSATORY DAMAGES (INCLUDING LOST OPPORTUNITY, EMOTIONAL HARM, LOST INTEREST, NASD FILLING, FORM AND ARBITRATORS’ FEES AND THE COST OF THE PROCEEDING) IN THE AMOUNT OF $250,000.00.

Damage Amount Requested – $1,500,000.00

Damages Granted – $101,000.00

Broker Comment – AFTER A 24-SESSION HEARING, THE ARBITRATION PANEL AWARDED THE [CUSTOMERS] AN AMOUNT OF $101,000.00. THE ARBITRATION PANEL ENTERED THAT ORDER AGAINST ME. AT THE CONCLUSION OF WHAT AMOUNTED TO ALMOST TWO WEEKS OF HEARINGS, THE ARBITRATION PANEL DISMISSED SEVERAL CLAIMS LODGED BY THE [CUSTOMERS] AS TOTALLY WITHOUT MERIT. THOSE CLAIMS INCLUDED CHURNING, EXCESSIVE TRADING, INTENTIONAL INFLICTION OF EMOTIONAL HARM, CLAIMS FOR PUNITIVE DAMAGES AND ALL CLAIMS ALLEGING UNAUTHORIZED TRADING. FURTHER, DURING THE TIME THAT I WORKED WITH THE [CUSTOMERS], THE [CUSTOMERS] WERE AT ALL TIMES, INDIVIDUALS OF SUBSTANTIAL NET WORTH WHO WERE ACCREDITED INVESTORS. THESE WERE ALSO ADDITIONAL INVESTMENTS THAT WERE NOT COMPLAINED OF, INCLUDING TWO LIMITED PARTNERSHIPS, THREE MUTUAL FUNDS INVESTMENTS, THREE LIFE INSURANCE POLICIES AND TWO LONG-TERM CARE POLICIES.