Investment Fraud Attorneys: What They Do and How to Choose One

What a securities fraud lawyer does

• Reviews your documents and the seller's registration history
• Identifies who may be liable, including supervising brokerage firms
• Determines the right forum (FINRA, private arbitration, court) and which deadlines apply
• Files and prosecutes the claim, negotiates settlements, and files receivership or bankruptcy claims

How investor-side securities attorneys are paid

Many work on contingency, taking a percentage of any recovery, and some offer free initial consultations. Others charge hourly or a hybrid fee. Ask who pays filing fees and expert costs, and what happens to those costs if there's no recovery. Get the fee agreement in writing.

Choosing a private placement fraud lawyer: questions to ask

• How many private placement, pre-IPO, or SPV cases have you handled?
• Have you handled FINRA arbitrations and selling-away claims?
• Who will actually work on my case?
• What deadlines apply to my situation?
• What is a realistic range of outcomes, and what are the risks?
• Are you licensed in my state, or will you work with local counsel?

Verify any attorney with your state bar association and search for disciplinary history.

Investment fraud class action lawsuits vs. individual claims

Securities class actions most often involve publicly traded companies. Pre-IPO and private placement cases are more commonly pursued as individual claims, group arbitrations, or through receivership and bankruptcy claims processes, though class actions are sometimes filed. If you receive a class action notice, read it carefully: it may set a deadline to file a claim or to opt out and pursue your own case.