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Fighting promissory note from previous firm

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Mar 12, 2010 3:10 am

I left my firm  several months ago, moved on to independent route. Of course my previous firm is coming after me for EFL.  Want to hire attorney, have found this to be overwheming, dont know who to trust??  Most seem interested in what they are getting paid, any advice? Anyone fought one of these and used someone they like?

Dont care to pay a lot, just want some one aggressive and with some talent!

Mar 12, 2010 2:44 pm

Trying not to be a total ass here, but why do you feel you don't have to repay a loan? 

Mar 15, 2010 1:05 am

really depends on your situation.....

Did you leave on your own? Can you afford to pay them back? Did the previous firm do something wrong?

If it's a lot, it makes sense to take an attorney, but it could cost you well over $10K if it goes back and forth and includes a possible arbitraiton......

If you can, try to settle........I've seen 50 cents on the dollar to be paid over time (like 2 years)......

Good Luck.......

Apr 12, 2010 2:51 pm

I currently have the same thing going on, except that I was released from employment.  I thought that my employment contract released me from liability from the note if I was terminated, but I am unable to locate my contract as it was in my desk when I was released/fired.  They are coming after me for about $33,000 plus lawyer fees.  The biggest problem I had was the market meltdown, the meltdown of my firm (think one of the largest firms still alive that was aquired by a bank)...  this caused some of my clients not to even consider moving as well as a $25 million client not to move once we were aquired.  I don't have the money to even think about hiring a lawyer, which of course means I can not hire a lawyer.  I have since went independent, which is when my old firm started to come after me.  I had remained unemployed for about 6 months in order to see if they would come after me cause I believe a judgement against me can make me lose my FINRA license.  What's funny, my old firm told all my clients that I resigned, which of course I was given that option when they fired me.  They said if I resigned, my U-4 would not be updated, but if I was fired, it would say that I had performance issues.  Of course, I just let them fire me because I thought they could not come after me for the loan.  I have about 15 days until I have to respond to arbitration.   Any suggestions would be appreciated.

Apr 13, 2010 1:52 am

If you were fired you should have received an updated U-4 reflecting that action.

If you are worth keeping, your new firm will help you fight back. Take charge of your situation and leverage your boss/co-workers/firm etc.

(disclosure: not a lawyer, just a stranger on a message board)

Apr 13, 2010 1:33 pm

Actually, it's just the U5 that has something on it, my U4 is clean.  I don't believe my new firm will do anything or help at all.  I am going to talk to my friend who left the firm I was at and came to the same one I am with now.

Apr 13, 2010 11:16 pm

Correct the U-5. Does it state that you were terminated or resigned? Actually nevermind, you should find someone that can address your situation in person. Best of luck to you...

Apr 15, 2010 7:53 pm

It  states I was terminated.