Recent Cases

Client: Car Dealership Owner

Amount Lost: $152,000

Commissions Charged: $100,000

Cold Spring has been retained by a car dealership owner in Pensacola, Florida seeking $152,000 in damages against a Woodbury, New York broker-dealer who altered his investor portfolio without authorization and severely churned his account. His broker was trading options when the investor had no experience in options and had him on excessive margin without his knowledge. At one point, the broker executed an astonishing 2.5 million transactions in a single month, solely for the purpose of generating commissions. 

Client: Attorney

Amount Lost: $182,000

Commissions Charged: $32,000

Cold Spring has been retained by a 73-year-old attorney from Washington, DC who is seeking $182,000 in damages against a New York City broker-dealer that churned his account and made unsuitable recommendations for his investment. The client's account had a high cost maintenance of 85% and was excessively traded on margin without the client's authorization. He lost 82% of his investment in just six months.

Client: Retired

Amount Lost: $153,000

Commissions Charged: $23,000

Cold Spring has been retained by a retired environmental advisor in Fairbanks, Alaska seeking $135,000 in damages from 2 different New York broker-dealers who churning his accounts for commission and made unsuitable investment recommendations. The brokers had focused the accounts in highly speculative positions and the investor consequently lost 100% of his investments, 25% of which went to broker commissions.

Client: Crop Insurer

Amount Lost: $278,000

Commissions Charged: $136,000

Cold Spring has been retained by a 64-year-old crop insurance salesman from Robstown, Texas seeking $278,000 in damages against 2 Long Island and 1 Irvine, California broker-dealers who collectively churned his accounts for commission, amongst other violations. These brokers had over-concentrated his account in unsuitable, highly speculative positions despite the client's limited investor experience - and excessively traded his account for $136,000 in commissions.

Client: Builder

Amount Lost: $44,000

Broker Abuse: Suitability

Cold Spring has been retained by a 73-year-old builder in Freeport, Illinois seeking $44,000 in losses against a Garden City, New York broker-dealer that made unsuitable investment recommendations. Against the explicit order of the client, the broker invested in highly speculative positions, and upon learning of the client's dissatisfaction, the broker refused to take his calls. As a result, the client incurred substantial losses in the 2 years the account was open.

Client: Engineer

Amount Lost: $400,000

Commissions Charged: $210,000

Cold Spring has been retained by a 75-year-old engineer in Northbrook, Illinois seeking $400,000 in damages from a Syosset, New York broker-dealer that made unsuitable investment recommendations and churned the account for commission. The broker executed a high-risk investment strategy that focused on highly speculative positions, including futures and options, without authorization from the client.

Client: Business Owner

Amount Lost: $311,300

Broker Abuse: Suitability

Cold Spring has been retained by a business owner in Hamburg, Germany who is seeking $311,300 in losses from an Atlanta, Georgia broker-dealer that made unsuitable investment recommendations. The broker invested the client in highly speculative Call Option trading positions that were completely inappropriate for the investor's profile. This extreme lack of suitability resulted in substantial losses for the client.

Client: Orthodontist

Amount Lost: $825,000

Commissions Charged: $271,000

Cold Spring has been retained by a dentist in Jefferson City, Missouri seeking a total of $825,000 in damages against two New York City broker-dealers that over-concentrated his accounts in highly speculative stocks - one of which included his pension. His accounts were excessively traded for commissions and were also on a high cost maintenance ratio. The client lost $100,000 a month for the first 3 months the accounts were open and ultimately lost 48.8% of his investment. 

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