Nonparty Insurers Can Seek FINRA Arbitration, Court Rules

Law360, Los Angeles (March 23, 2012, 7:55 PM EDT) -- A California appeals court on Friday said insurers involved in investment disputes may proceed before a Financial Industry Regulatory Authority arbitration panel if they are acting as agents for a party with an arbitration agreement even if the insurance company itself is not.

The California Court of Appeal, Fourth Appellate District, reversed a lower court's ruling that prevented Ameriprise Financial Services Inc. from seeking arbitration in a case involving a deceased widow whose son claims was induced into making unsuitable investments because two insurance companies were...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.