Raymond James & Associates, Inc. Lawsuit Alleges Unsuitable Investments

Lawsuit Alleges Barry Richter & Raymond James & Associates, Inc. Recommended Unsuitable REITs and Energy Investments

The White Law Group has filed a FINRA Dispute Resolution claim against Raymond James & Associates, Inc. on behalf of a Pennsylvania resident, requesting damages for alleged violation of common law fraud, breach of fiduciary duty, negligence, and negligent supervision.

The lawsuit alleges that Raymond James unsuitably invested its client in the following high risk real estate investment trusts (REITs) and energy investments, among others:

Enterprise Product Partners, LP (EPD)

Hi-Crush Partners, LP (HCLP)

Stonemor Partners, LP (STON)

Enlink Midstream Partners, LP (ENLK)

USA Compression Partners, LP (USAC)

Care Trust REIT (CTRE)

LINN Energy, LLC (LINE)

Mid Con Energy Partners, LP (MCEP)

CEDAR Realty Trust, Inc. (CDR)

Campus Crest Community, Inc. REIT (CCG)

American Home 4 Rent REIT (AMH.PRA)

NGL Energy Partners, LP (NGL)

LRR Energy, LP (LRE)

Martin Midstream Partners, LP (MMLP)

Catchmark Timber TR Incorporated Class A REIT (CTT)

The claim seeks damages in an amount between $100,000 and $350,000.

According to the Statement of Claim,  Raymond James & Associates, Inc. allegedly failed to perform the necessary due diligence on these investments prior to recommending them to this particular investor. 

Broker dealers are required to inform clients of the risks associated with investment recommendations. They must ensure that those recommendations are suitable for the investor in light of the investor’s age, risk tolerance, net worth, and investment experience. Firms that fail to do so may be held responsible for any losses.

The lawsuit further alleged that the Raymond James financial advisor that was involved with the accounts at issue is Barry D. Richter. According to the Financial Industry Regulatory Authority (FINRA), Richter has been the broker of record for at least nine (9) customer disputes during his career in the securities industry. Allegations include unsuitable investment concentration, among others. 

Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.

Filing a Complaint against your Brokerage Firm

If you are concerned about investments made with Barry Richter and Raymond James, the securities attorneys, at the White Law Group may be able to help you. For a free consultation, please call the offices at (888)637-5510.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois.

The firm has handled more than 600 FINRA arbitration claims alleging claims for unsuitable investment recommendations, conversion, breach of fiduciary duty, selling away, fraud and other issues.

For more information The White Law Group, please visit our website at https://whitesecuritieslaw.com.