What You Need to Know
- A FINRA arbitration case is heading to the U.S. Supreme Court, with oral arguments scheduled for Nov. 2.
- Advisor Denise Badgerow had alleged she was fired from Ameriprise affiliate REJ Properties in retaliation for reporting the conduct of REJ's principals.
- SIFMA has signed an amicus brief in support of the Ameriprise affiliate.
The Securities Industry and Financial Markets Association signed an amicus brief supporting an Ameriprise affiliate in its dispute with a former advisor that is heading to the U.S. Supreme Court, with oral arguments scheduled for Nov. 2, court documents show.
Denise Badgerow became registered with the Financial Industry Regulatory Authority in 2014, when she became a rep and broker for Ameriprise Financial Services, according to her report on FINRA’s BrokerCheck website. She went on to become a registered advisor one year later but left the firm in 2016.
She went on to allege in a FINRA arbitration dispute that she was fired from Ameriprise affiliate REJ Properties in retaliation for reporting to Ameriprise the conduct of Thomas James Meyer, Ray Anthony Trosclair and Gregory Alan Walters, the principals of REJ, which does business as Walters, Meyer, Trosclair & Associates.
The three respondents “tortiously interfered” with Badgerow’s employment agreement, and the agreement’s noncompete and non-solicitation provisions are invalid, she alleged.
REJ also “tortiously interfered” with her book of business after her “wrongful termination in violation of Louisiana’s Unfair Trade Practices & Consumer Protection Law,” she alleged.
In a second amended and restated statement of claim, Badgerow added Ameriprise as a respondent, alleging that because it was a “joint employer,” it was “jointly and severally liable for the actions” of the other respondents and REJ.
A FINRA arbitration panel, however, dismissed all her claims in 2018.
In 2019, Badgerow sought to vacate the FINRA award via an action in Louisiana state court, alleging the REJ principals engaged in fraud against the FINRA arbitrators. The respondents went on to get the case removed to U.S. District Court for the Eastern District of Louisiana.