How To Defend Nontraded REITs In FINRA Arbitration
Law360, New York (June 3, 2013, 1:17 PM EDT) -- The real estate bubble that spectacularly burst in 2007 produced a flood of securities litigation that continues today. In the Financial Industry Regulatory Authority's arbitration forum, many of these cases have involved so-called public nontraded real estate investment trusts. These publicly registered — but not publicly traded — investments present unique challenges to broker-dealers, registered representatives and the lawyers who defend them.
A Brief Background on Nontraded REITs
Broadly speaking, a real estate investment trust is a diversified portfolio of interests in real estate, which can...