4ANDJ DST Lawsuits & Complaints | Investigating Investor Claims

4ANDJ DST Lawsuits & Complaints — Investigating Investor Claims

Have you suffered investment losses in 4ANDJ DST? The White Law Group is investigating potential securities fraud lawsuits and investor complaints involving brokerage firms that may have unsuitably recommended 4ANDJ DST, a 1031 Delaware Statutory Trust (DST), to retail investors. If your advisor failed to disclose risks or recommended this investment without proper due diligence, you may be entitled to recover your losses.

What is 4ANDJ DST?

4ANDJ DST is a private placement Delaware Statutory Trust (DST) investment reportedly formed to acquire commercial real estate. According to a Form D filed in 2021, the sponsor sought to raise $49,590,628, with more than 9% of the offering amount allocated to sales commissions and fees. Emerson Equity LLC, Great Point Capital, and Whitehall-Parker Securities were listed as the selling broker-dealers for the offering.

As with many DST offerings, 4ANDJ DST was marketed to investors—often retirees—seeking passive income, tax deferral through 1031 exchanges, and exposure to real estate. However, these private placement offerings typically come with high risk and limited liquidity.

Risks of 1031 DST Investments

Private placement DST offerings such as 4ANDJ DST can carry significant risks, including:

1. Limited Liquidity

DST investments are long-term and difficult to sell. Investors may not be able to exit the investment before its full lifecycle—often 7–10 years (or longer).

2. High Fees and Commissions

DST offerings commonly pay brokers commissions approaching 10% of the total investment. These high fees create significant conflicts of interest. According to the Form D, 4ANDJ DST paid more than 9% in commissions and fees.

3. Potential Loss of Principal

Underlying real estate assets may decline in value due to market conditions, vacancy, leverage, or poor management decisions.

4. Limited Investor Control

Investors have virtually no say in operational or managerial decisions. Trustees control the assets, regardless of investor concerns.

5. Distribution Risk

Some DSTs pay steady distributions, while others reduce or halt them entirely. Distribution cuts can signal cash-flow issues or declining property performance.

Unsuitable Recommendations & Broker Due Diligence Failures

Broker-dealers are required to conduct adequate due diligence when recommending alternative investments like 4ANDJ DST. Under Regulation Best Interest (Reg BI) and FINRA rules, advisors must ensure investments are suitable based on an investor’s:

• age

• risk tolerance

• financial situation

• investment objectives

• liquidity needs

If your advisor failed to disclose the risks of a DST offering or recommended 4ANDJ DST without adequately assessing your suitability, you may be able to file an investor complaint or lawsuit for recovery of losses.

Class Action vs. Individual FINRA Arbitration

Many investors ask whether filing a class action lawsuit is better than pursuing an individual arbitration claim. The answer depends on the size of your loss:

• Large losses ($100,000+) ? Individual FINRA arbitration is typically the more effective and faster route.

• Small claims ? A class action may be appropriate when individual arbitration is not practical.

Most DST-related recovery cases are pursued through FINRA arbitration, not class action lawsuits.

Filing a 4ANDJ DST Lawsuit for Investment Losses

If you experienced financial losses while invested in 4ANDJ DST, you may be entitled to recover damages through a FINRA arbitration lawsuit against the brokerage firm that recommended the investment.

The White Law Group has recovered millions of dollars for investors in DST and other alternative investment cases.
For a free consultation, call 888-637-5510.

About The White Law Group

The White Law Group is a national securities fraud and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington. The firm represents investors across the country in FINRA arbitration claims involving unsuitable investment recommendations, misrepresentation, and broker misconduct.

FAQs: 4ANDJ DST Lawsuits & Complaints

1. Can I file a lawsuit if my advisor recommended 4ANDJ DST and I lost money?

Yes. If your financial advisor unsuitably recommended the investment or failed to disclose its risks, you may pursue a FINRA arbitration lawsuit to recover losses.

2. Are investors filing complaints about 4andJ DST?

Investors in DST offerings frequently file complaints involving suitability, lack of liquidity, and misrepresentation. If you experienced similar issues with 4andJ DST, you may have a potential claim.

3. Do I need to join a class action to recover losses in 4ANDJ DST?

Not necessarily. Most DST recovery claims are handled through individual FINRA arbitration, which often yields better results—especially for investors with substantial losses.