The Claimant’s Development And Presentation of Evidence in Arbitration Proceedings

J. Boyd Page
Sandra L. Goddard

I. INTRODUCTION
II. PRELIMINARY FACT GATHERING AND INVESTIGATION
A. Gathering Information from the Client.
B. Gathering Information From Other Sources
C. Preparing Your Case with the Aid of Expert Witnesses
III. DISCOVERY
A. Requests for Production of Documents
B. Requests for Information and Other Forms of Discovery
C. The Pre-hearing Conference
D. The Pre-hearing Exchange
IV. THE PRESENTATION OF EVIDENCE AT THE ARBITRATION HEARING
A. The General Presentation of Oral Testimony
B. Direct Examinations
C. Cross-examination of an Adversary
D. Use of Documentary Evidence

I. INTRODUCTION

There are six basic keys to success in approaching, developing, and presenting a customer’s case in arbitration. You should use these six rules as guidelines in preparing each element of your case from the filing of your claim to the presentation of witnesses at a hearing.

First, know your client and his or her case. Be completely familiar with the facts and circumstances surrounding your client’s claim. Make sure that you recognize and are as prepared to address your client’s weaknesses as you are to present the strengths of his or her case.

Second, know your opponent(s). Become familiar with the internal rules, regulations, policies and documents of the brokerage firm. Familiarize yourself with the compliance history and problems of the brokerage firm and its personnel which are involved in your case.

Third, know your industry. Become familiar with the customs, practices, and standards of the brokerage industry. Become familiar with the rules and regulations that govern the brokerage industry. Learn the rules and regulations of the self-regulatory organizations (SROs) such as the New York Stock Exchange (NYSE) and the National Association of Securities Dealers (NASD). Learn the rules and regulations of the Securities Exchange Commission (SEC). Familiarize yourself with the types of documentation required by the SRO and SEC regulations and the types of documents customarily maintained by brokerage firms. Several general industry resource materials exist which the claimant’s attorney may find particularly useful including:

A) The NASD Manual;
B) The New York Stock Exchange Guide;
C) Regulation of Brokers, Dealers and Securities Markets (Wolfson, Phillips and Russo);
D) Dun and Bradstreet Guide to Your Investments (Dunnan);
E) Securities Law Compliance (Pessin);
F) Fundamentals of the Securities Industry (Pessin);
G) The Complete Guide to Investment Opportunities (Blume and Friedman);
H) The Over-the-Counter Securities Markets (Loll and Buckley);
I) Diversify the Investors Guide to Asset Allocation Strategies (Perritt and Lavine);
J) Lies Your Broker Tells You (Saler); and
K) Mugged on Wall Street (Chase).

Fourth, know your forum and the panel of arbitrators selected to hear the dispute. Carefully review arbitrator profiles for proposed arbitrators provided to you by the SRO. Once your arbitrators have been selected, contact the SRO or the Securities Arbitration Commentator to get the proposed arbitrator’s prior decisions. Obtain a Central Registration Depositary computer run for any proposed industry panelist. Contact friends, acquaintances, and other attorneys to develop information about the proposed arbitrator’s knowledge, predispositions and demeanor. Consider conducting a LEXIS/NEXIS search on your proposed arbitrators to gather any additional information that may be available.

Become familiar with the differences between court and arbitration proceedings, especially as they relate to discovery and the presentation of evidence. Become familiar with any predispositions any arbitrator on your panel may have, especially as they relate to discovery and the presentation of evidence at the hearing. Several general arbitration forum resources materials that are particularly useful are:

A) Securities Arbitration Procedure (Robbins);
B) Securities Arbitration Commentator (Ryder);
C) Securities Arbitration – PLI course books; and
D) Securities Arbitration: Procedures, Strategies, Cases (Hoblin).

Fifth, be creative. Analyze the strengths and weaknesses of your case and appreciate where your opponent can hurt your client’s case. Present your client’s case so that his strengths are maximized and his weaknesses are minimized.

Sixth, adopt the “KISS” approach to presenting a customer case – “Keep It Simple Stupid.” Present the facts of your client’s case in a simple, concise, well-organized format that highlights your client’s strengths. Make it easy for the arbitrators to understand the nature of the claim, the bases of the claim, and the relief sought.

II. PRELIMINARY FACT GATHERING AND INVESTIGATION

In arbitration, the initial investigation and fact gathering for one’s case is very important. Much information concerning a case can be gleaned from the client’s account of what happened and from the documents client received concerning the activities in his account.

A. Gathering Information from the Client.

When preparing to file a claim on behalf of your client, have your client prepare a narrative of the events that took place in his account. First, have your client describe his background, how he came into contact with his broker, why he opened an account, what his investment objectives were, and what was recommended to him by his broker. If your client has any special needs that were disclosed to the broker, make sure you are aware of these facts. For example, if your client’s spouse was very ill and required nursing care and your client explained to the broker that he needed income from his investments to cover the expenses of nursing care for his wife, ask him if the broker was aware of these circumstances. Often clients are reluctant to write narratives simply because of the time it may involve; however, getting your client to organize his thoughts and focus on the events that took place is extremely useful. The client’s narrative can also be useful to refresh his or her memory some nine to twelve months later when an arbitration hearing is scheduled.

In addition to having your clients prepare a narrative, gather and review all documents your client has relating to his accounts. In any type of securities arbitration matter, the following documents, among others, are useful to gather and review in preparing your client’s claim:

1). monthly account statements for the accounts at issue;
2). trade confirmation slips for the investments bought and sold in the accounts at issue;
3). any new account forms, margin agreements, option account agreements, or other account agreements for the accounts at issue;
4). any notes, ledger sheets, or memoranda the client kept to record conversations he had with his broker or to keep track of the activities in his account;
5). any literature the client received concerning the investments in his account including prospectuses, annual or quarterly reports, sales brochures, or firm research;
6). your client’s federal and state tax returns for the period in which he maintained the account at issue;
7). your client’s personal financial statements or statements of net worth if he maintained any;

8). monthly account statements (or at least year-end consolidated statements) and account agreements for any other accounts your client maintained at brokerage firms other than the one in question; and 9). any correspondence to or from your client concerning the account at issue including any correspondence from the broker or from the broker firm at issue or any complaint letters your client sent his brokerage firm. Ask your client if he ever made any tape recording of his broker or if he believes his broker ever taped his conversations.

Depending on the type of claim your client may have, you may want to have his account scheduled. For example, if there is a significant amount of trading in an account and you suspect that the account has been churned, you will want to schedule the account and calculate the turnover ratio and average cost/equity maintenance factor for the account. In addition to showing if an account may have been churned, scheduling an account may reveal other problems in one’s account such as short holding periods, flipping of mutual funds, and in and out trading.

Once you have gathered as much information as possible from your client, conduct an extensive interview with your client. If possible, meet your client face to face. Determine how you client presents himself and what type of witness he will make. If your client appears dishonest and if you do not believe your client is credible, chances are arbitrators won’t either. Gather as much background information as you can from your client such as his age, educational background, financial status, and level of sophistication.

B. Gathering Information From Other Sources

After interviewing your client and reviewing information he provides, you may want to consider gathering additional information from outside sources.

Oftentimes, materials maintained at university or public libraries can provide a wealth of information concerning your client’s potential claims. For example, one can research newspaper and magazine articles about a client’s investments or about the brokerage firm involved. In addition, some libraries maintain computerized data bases from which annual and quarterly reports and brokerage firm research reports can be obtained. For example, LEXIS/NEXIS databases cover research reports and news articles pertaining to various companies and securities. Depending on the type of claim your client has, these items may prove useful in developing and presenting your case.

Public filings of a company issuing securities are also available. For example, if you need prospectuses for any investments in your client’s account and your client never received a prospectus or did not keep it, you can easily obtain these from outside services for a reasonable fee. Annual reports, quarterly reports, and proxy statements are also available. In addition, some libraries have these public filings available on computerized databases.

Various rating services also have publications available from which useful material may be gathered pertaining to your client’s securities. These services include Standard and Poor’s, Value Line, and Moody’s. These publications may be particularly helpful in suitability cases.

One should always conduct a background check on the broker involved. Notwithstanding the fact that the broker may not be named as a respondent in your client’s claim, you should know whether the broker has a disciplinary record and if he has any other claims pending against him or already resolved. The Secretary of State’s office (or state securities administrators) for most states can and will provide you with certain information concerning any broker registered within a particular state.

If your client’s broker is no longer with the brokerage firm at which your client’s problem arose, consider interviewing the broker. The American Bar Association Formal Opinion 91-359 states that an attorney may communicate with an unrepresented former employee of a corporate party without the consent of the corporation’s attorney without violating Rule 4.2 of the Model Code of Professional Responsibility. However, courts in some jurisdictions have ruled that an attorney is prohibited from communicating with former employees of a corporate adversary, reasoning that the acts or omissions of a former employee could be imputed to the corporation. Thus, check the case law on this issue in your particular jurisdiction if you plan to interview any former brokers.

Once you have reviewed your client’s documents and the facts surrounding your client’s claims, consider what other potential witnesses may be useful in addition to your client and his broker. For example, your client may have regularly spoken with his broker’s assistant. Find out the name of the assistant or any other person at the brokerage firm with whom he may have spoken. Find out who the branch manager was at the branch office during the time your client’s account was maintained at that particular branch office.

If your client always visited or spoke with his broker in the presence of another person, find out who that person was and interview that person. He or she may be able to corroborate your client’s testimony.

You may consider speaking with other persons associated with the securities industry, including experts. They may be able to provide valuable insight into your client’s claims.

C. Preparing Your Case with the Aid of Expert Witnesses

You may find that a securities industry expert is necessary to the preparation and presentation of your client’s case. Oftentimes, the decision to hire an expert must be guided by the economics of the case. In other words, does the assistance an expert would provide justify his expense? Discuss the advantages and disadvantages of hiring an expert with your client. While your client, who has already lost money with his broker, may be reluctant to “throw good money after bad,” an expert can often prove to be an invaluable resource and well worth the expense.

If you are unfamiliar with the securities industry and if you client’s claims are particularly complicated, you should give serious consideration to retaining an expert. An expert can be helpful in assisting you in pinpointing the problems in your client’s account. An expert can assist you in evaluating the merits of your client’s claims and can point you to certain brokerage industry documents you should seek in discovery that will be useful in supporting your client’s claims.

You may want to hire an expert to schedule your client’s account(s). The expert can determine from proper scheduling it your client’s account was churned by calculating turnover ratios and cost/equity maintenance factors. Your expert can also assist in identifying other irregularities in your client’s accounts.

Once you obtain documents from the respondent in discovery, an expert can help you review the documents and pinpoint those most useful to proving your claims. Likewise, your expert can assist you in determining what documents should have been produced that were not that also would be useful in proving your case.

You may want your expert to help prepare your witnesses for the hearing. Your expert may help you formulate the typical cross-examination questions your witnesses should expect from opposing counsel. Your expert can also help assess the credibility of witnesses you intend to call at the hearing.

If your expert is fairly experienced, he may be able to provide insight into the testimony of an expert hired by opposing counsel. In fact, you expert may have already testified at a hearing at which opposing counsel presented testimony from the same expert they intend to call in your case. Your expert may be able to predict how respondent’s expert will testify as to certain matters and may be able to assist in the preparation of your cross-examination of him or her.

While you may have hired an expert to assist in the preparation of your claim, you may ultimately decide not to call him as a witness at the hearing. However, if you do intend to call your expert as a witness, spend time preparing your expert’s testimony with him or her. Do not assume that because your expert has testified previously he will be a good witness! Make sure your expert can communicate in simple terms even on the most complicated of issues. Remember that the hearing is not just an opportunity for your expert to show the panel how smart he is. Make your expert an asset to your case or do not call him as a witness.

II. DISCOVERY

Once you have filed your client’s claim, the respondent will be given twenty business days from the date of service to respond to the claim. Within 20 days or more after the claim has been served, you may serve Respondent with a request for production of documents and information. Pursuant to the SRO arbitration rules, the Respondent must satisfy or object to each request within 30 days unless a greater time is allowed by counsel. Any response to objections must be filed within 10 days from the date the objection is received. If requests go unsatisfied, one may request a pre-hearing conference.

A. Requests for Production of Documents

In filing a request for production of documents, you should focus your requests on those documents necessary to support your client’s claims. You should make your requests clear and concise so that your opponent will have a more difficult time arguing that your requests are overly broad, unduly burdensome, and calculated solely to harass.

If possible, make your requests “bullet” requests. Ask for specific documents by their industry-specific names. By doing so, your opponent will have a more difficult time objecting to your requests on the grounds that they are vague and ambiguous. A sample of a claimant’s document/information request is attached as Exhibit A.

In addition, the NYSE has advised member firms that the following documents are generally relevant to arbitration proceedings:

1) the brokers’ employment and termination notices;
2) monthly statements and order confirmations;
3) relevant parts of the firm’s compliance manual;
4) research reports;
5) client agreements and opening account documents;
6) correspondence with regulators;
7) marketing manuals;
8) order tickets;
9) profit-and-loss analysis;
10) the broker’s commissions; and
11) other similar customer complaints.

Arbitrators are informed that this list is not exhaustive and that all of these documents are not necessary in every case. Other documents that are often relevant include, among others:

1) firm trading account statements;
2) firm error account statements;
3) commission schedules;
4) trading blotters;
5) other marketing materials (including syndicate fact sheets, video/audio presentations, sample sales scripts/prospecting letters, sales seminar materials, offering summaries/highlights);
6) records of sales incentives/marketing contests;
7) P&S runs;
8) registered representative training materials;
9) due diligence files;
10) testimony of firm personnel in related actions;
11) previous testimony of expert witnesses on behalf of the firm;
12) registered representative holding pages and cross reference sheets;
13) exception/activity reports;
14) audit reports; and
15) the registered representative’s personnel files.

Although “the parties shall cooperate to the fullest extent practicable in the voluntary exchange of documents and information to expedite the arbitration…” oftentimes your discovery requests will be met with objections. First attempt to resolve your discovery dispute with opposing counsel. Be sure to file a response to opposing counsel’s objections within 10 days of your receipt of the objections. This is your first opportunity to argue why documents are relevant to your case and why they should be produced. Be persuasive. If you are unable to resolve the matter, request a pre-hearing conference.

B. Requests for Information and Other Forms of Discovery

The SRO rules also provide that one may request the production of information. However, the rules do not provide that one may serve opposing parties with detailed interrogatories as one would in a court proceeding. Keep your information requests clear and concise and only request information that will assist you in identifying witnesses you may wish to call or documents that may assist you in the presentation of your case.

Depositions generally are not permitted in arbitration. In the Arbitrator’s Manual, arbitrators are advised that depositions are permitted only:

a) to preserve the testimony of an ill or dying witness;
b) for persons who are unable or unwilling to travel long distances to attend the hearing and are not required to attend the hearing;
c) to help expedite large and complex cases;
d) in other particular situations if appropriate.

Of course, the parties can mutually agree to conduct certain depositions.

Arbitrators have the power to issue subpoenas and direct appearances of witnesses. Specifically, arbitrators may direct the appearance of any employee of any member firm or direct any member firm to produce any documents in its control.

C. The Pre-hearing Conference

A pre-hearing conference may be requested in writing to the SRO by either party. Pre-hearing conferences should be used to resolve any discovery disputes prior to the first hearing. Arbitrators do not want parties to wait until the hearing to resolve discovery disputes and thus further delay the hearing process.

Both the NASD and NYSE charge a fee for a pre-hearing conference. The party requesting the hearing must pay the fee. The SRO will appoint an arbitrator, who is usually one of the panel members who ultimately hears the claim, to preside over the pre-hearing conference. The arbitrator selected is authorized to act for the panel and may issue subpoenas, direct appearances of witnesses, order the production of documents, and set deadlines or make other rulings necessary for each side to fully prepare his case for hearing. In discovery disputes over the production of documents, arbitrators are urged to balance the ability of one to prepare his case against the burden of producing the requested documents.

If you request a pre-hearing conference because the respondent has objected to producing certain documents which you believe to be relevant and essential to your case, be prepared to argue why these documents should be produced in a persuasive manner. If you filed a written response to your opponent’s objections to discovery, much of your work has already been done.

If your arbitrator orders certain documents to be produced, it is advisable to have the arbitrator’s order reduced to writing to avoid any misunderstanding between the parties concerning its scope. Likewise, you can have your pre-hearing conference transcribed by a court reporter for the same purpose.

Once an arbitrator has ordered certain documents or information to be produced, and a party fails to comply with the arbitrators ruling, arbitrators are given discretion in sanctioning that party. Arbitrators may assess fees or other costs and expenses, including attorney’s fees attributable to the party’s noncompliance, against the non-complying party. In addition, the arbitrators may use the non-complying party’s actions as an adverse inference against it or they may make a disciplinary referral if the non-complying party is a member firm. In addition, the arbitrators may take other action if they deem it appropriate to expedite the hearing process.

D. The Pre-hearing Exchange

The SRO rules provide that 10 days prior to the first scheduled hearing date, each party must serve upon opposing counsel the documents he intends to present at the hearing during his case in chief and the names of any witnesses he intends to call during his case in chief. This pre-hearing exchange specifically excludes any documents or witnesses to be introduced for purposes of cross-examination.

IV. THE PRESENTATION OF EVIDENCE AT THE ARBITRATION HEARING

A. The General Presentation of Oral Testimony

In presenting your client’s case, if possible, structure the presentation of the case so that it starts strong and finishes strong. Because each case is different, there is not magical order of witnesses. The best order of witnesses is dictated by the facts and circumstances of your case – the strengths and weaknesses. For example, in one case, you may elect to call the broker as your first witness to show what a “bad person” he or she is and to set the tone for the entire hearing that this is simply a “bad broker” case. In another case, you may decided to call your client as your first witness because of the likelihood that the client will be particularly sympathetic and appealing to the panel, and because you anticipate that little harm will result regardless of what your client says.

In presenting your witnesses, regardless of whom you call first, strive to have the panel leaning your way by the time the first witness has concluded his or her testimony. Likewise, attempt to close each hearing session, as well as your case in chief, on a high note. Strive to leave the panel convinced as to the merits of your case.

B. Direct Examinations

How you organize your direct examinations of your witnesses will naturally depend on the type of case you have. Strive to tell a story through your client’s own words. Be sure the arbitrators know who your client is, what your client wanted, what your client was told, and why your client was wronged. Even for the most complex cases, try not to get bogged down in every minute detail. You do not want your arbitrators to get so lost in details that they never see the overall picture you are trying to paint. Above all else, make sure your client tells the truth and is credible. If the arbitrators think your client is a liar, there’s not much hope you will win your case even if your client is telling the truth about the issues at hand.

C. Cross-examination of an Adversary

The first rule of thumb that applies to cross-examination of a witness in arbitration is to forget the “ten rules of cross-examination” that apply in court proceedings. These rules simply have no place in arbitration. For example, if you refuse to ask a question to which you do not know the answer, you almost certainly will seriously undermine your case. Because there are not depositions in arbitration for the most part, you cannot know in advance what various witnesses will say in testimony.

In cross-examination, you can control the witness by means other than his prior testimony. For example, you can use industry rules, regulations, customs and practices, among other resources, to control the witness. You can also use your own techniques to tie down your adversary’s story and then attack his recitation of the relevant facts and circumstances of the case. Learn to use your adversary’s failures to act in certain ways as a sword in proving your own case.

D. Use of Documentary Evidence

Prior to the hearing, organize your documents in an orderly format that can be easily referenced.

If you plan to introduce documents as exhibits, it is suggested that they be place in notebooks or velobound in order to avoid total chaos as the arbitrators move from document to document. It is also suggested that exhibits be tabbed and that pages be numbered. This technique will facilitate reference to the relevant portions of your exhibit.

To further aid the arbitrators, it is suggested that relevant portions of each exhibit be highlighted. This will focus the arbitrators’ attention on those portions of each exhibit you deem most important.

Remember that arbitrators are rarely interested in spending countless hours reviewing extensive documentation that is often introduced in an arbitration proceeding. The more difficult it is to locate a particular document and focus on why it is important, the less likely it will be given serious consideration by the panel. With respect to your most critical documents, make sure that the arbitrators’ attention is directed specifically to the document during testimony or other offers of proof by counsel. Make sure your presentation highlights your most essential documents.

Remember that the strict rules of evidence do not apply in arbitration. However, material presented should be relevant to the case. Opposing counsel will be given the opportunity to object to anything presented at the hearing. The overriding concern for the arbitrators is fairness to all parties.


EXHIBIT A

BEFORE THE NEW YORK STOCK EXCHANGE, INC.
IN THE MATTER OF THE ARBITRATION BETWEEN:
WIDOW SMITH
Claimant,
V.
CHURNEM & BURNEM BROTHERS, INC., AND I.M. CROOK
Respondents.

_________________________________________________

CLAIMANT’S FIRST REQUEST FOR PRODUCTION OF DOCUMENTS AND OTHER INFORMATION TO RESPONDENTS

Pursuant to Rule 619 of the NYSE Code of Arbitration Procedure, counsel for claimant hereby requests that Respondents produce the documents and information listed below within thirty (30) days from the date of service of the Request for inspection and copying at the offices of Claimant’s counsel, Page & Bacek, 900-One Securities Centre, 3490 Piedmont Road, N.E., Atlanta, Georgia 30305.

If any of the documents referred to below were once in Respondents’ possession, custody or control but are no longer in their possession, custody or control, identify such documents by stating the type of document, the date, the author, the addressee, and the reason Respondents no longer have possession or control of such documents. In the event that any document requires a computer key, computer code or other item to decode, it, this request will extend to your production of any such key or code. If any document listed below is asserted to be privileged, identify such document and the basis for the claim of privilege with sufficient specificity to allow Claimant an opportunity to object to the claim of privilege.

DEFINITIONS AND INSTRUCTIONS

As used herein, the following terms shall have the meaning and be interpreted as set forth below:

1.

“Communication” means any oral or written statements, notes, or utterances of any nature made to or by Respondents including, but not limited to, correspondence, notes, reports, conversations, dialogues, discussions, interviews, consultations, agreements, and other understandings.

2.

“Complaints” include all customer complaints (written or oral), lawsuits, arbitration claims, administrative proceedings, or investigations or inquiries (formal or informal) by any governmental, quasi-governmental or self-regulatory organization, including without limitation, the SEC, NASD, NYSE, AMEX, CBOE, or state regulatory authority.

3.

The term “documents” is intended to have a meaning and definition coextensive with that contained in Rule 34(a)(1) of the Federal Rules of Civil Procedure, and that definition of “writings and recordings” contained in Rule 34(a)(1) of the Federal Rules of Civil Procedure and Rule 1001(1) of the Federal Rules of Evidence, and shall be interpreted as including all original documents defined in Rule 1001(3) of the Federal Rules of Evidence or, if not available, a true copy thereof, together with each and every nonidentical copy thereof (whether by reason of notations made thereon or otherwise).

4.

The term “Respondents” shall refer to I.M. Crook and/or the brokerage firm of Churnem & Burnem Brothers, Inc. (“C & B”) and all references to Respondents shall be deemed to include each of their directors, officers, partners, parents, affiliates, subsidiaries, employees, agents or representatives, including their attorneys, or any employee, agent, investigator or representative of their attorneys.

5.

“And” and “or” shall be interpreted in every instance as meaning “and/or” and shall in neither instance be interpreted disjunctively to exclude any document or information otherwise within the scope of any description or request made herein.

6.

All references to the singular contained herein shall be deemed to include the appropriate plural number and all references to the plural shall be deemed to include the singular. All references to the masculine gender contained herein shall be deemed to include the appropriate feminine and neuter genders.

REQUESTS FOR PRODUCTION

In accordance with the instructions and definitions set forth above, please produce the following documents:

1.

All account documents relating to Claimant’s account with Respondents including, but not limited to, new account forms (original and all carbon copies), margin agreements, IRS “W-9” forms, customer agreements, option agreements, discretionary account agreements, branch office copies of monthly statements, order tickets, portfolio records, security cross reference sheets, bank reference letters, active account information forms, and margin call notices.

2.

All documents evidencing communications between Claimant and Respondents, or evidencing communications made to or by Respondents concerning Claimant or Claimant’s account, including, but not limited to, correspondence, telexes, memos, notes, phone logs, phone records, telephone message pads, billing records or invoices, diaries, journal entries, inter-office memos and tape recordings.

3.

All documents bearing the signature of Claimant.

4.

All manager supervisory logs, manager responsibility records, “Branch Manger’s Monthly checklist(s)”, compliance calendars or other supervisory records prepared by Respondents which concern or make any reference to Claimant, Claimant’s account, or I. M. Crook (“Crook”).

5.

All documents evidencing, or referencing communications with expert witnesses retained or specially consulted by you in connection with this arbitration case, including, but not limited to, all correspondence between you and such expert witnesses and all summaries, reports, and narratives prepared by or for such expert witnesses.

6.

The resume, curriculum vitae or other written credentials for any expert witness whom you intend to call at the hearing.

7.

Any compliance manuals, procedures manuals, branch office operations manuals, registered representative sales manuals, training manuals, manager supervisory manuals, wires of the week, and legal and compliance bulletins by whatever name known, which were in effect for the period May 1, 1989 through January 30, 1990. (If Respondents will produce the indices to the above requested manuals, Claimant will seek to further limit this Request to the portions of the manuals which Claimant wants produced for use at the arbitration hearing.)

8.

All “complaints”, employee disciplinary correspondence files, and customer complaint logs or files relating to Crook.

9.

Crook’s monthly commission run for each month in which he earned earned commissions from transactions involving Claimant.

10.

C & B’s “Recommended Buy List,” by whatever name known for the time period Claimant maintained an account with C & B.

11.

State the name, address and last known place of employment for each sales assistant who worked with Crook during the period Claimant maintained an account with C & B.

12.

State the name, address and last known place of employment of employment for the Operations Manager and Branch Manager for the C & B branch office during the time period Claimant maintained an account at said office.

13.

All documents intended to be used as Exhibits by Respondents in the arbitration hearing for this matter.

14.

All literature, brochures, bulletins, prospectuses, information, internal wires, notes, memos, recordings, news articles and any other documents of any kind which Respondents provided to Claimant concerning or relating to Claimant’s account or any investments recommended for Claimant’s account.

15.

All examination reports or audits, including internal audit reports and SRO reports, for the C & B office which serviced Claimant’s account (including any written comments, correspondence, responses or follow-up reviews to said reports) for the period Claimant maintained an account at C & B which reference Crook, Claimant or Claimant’s account.

16.

All documents concerning any communications which Respondents have had with the Securities and Exchange Commission, National Association of Securities Dealers, Inc.,New York Stock Exchange, and/or any other securities regulatory agency concerning Crook, Claimant or Claimant’s account.

17.

Any rules, regulations, policies, procedures, guidelines or standards used by C & B, during the period Claimant maintained an account at C & B, in connection with the following:

(a) recommendations to customers;

(b) suitability of recommendations; and

(c) supervision of transactions, accounts and registered representatives.

18.

Crook’s personnel file including, but not limited to: Form U-4, Form U-5, employment application, letters of reprimand and commendation, and letter of resignation.

19.

All expense reimbursement vouchers, by whatever name known, completed by Crook for the period Claimant maintained an account at C & B.

20.

Any document evidencing your allegation that Crook recommended that Claimant invest money from the sale of her home in Certificates of Deposit, Treasury Securities or Municipal Bonds.

PAGE & BACEK
____________________________
J. Boyd Page
_____________________________
J. Michael Bishop
Attorneys for Claimant

900-One Securities Centre
3490 Piedmont Road, N.E.
Atlanta, Georgia 30305
(404) 365-9900

 

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