Chemere Ellis, PLLC is pleased to announce that on December 4, 2024, a FINRA arbitration panel unanimously found in favor of two clients on their requests to expunge a customer complaint from their Central Registration Depository (“CRD”) Records. Expungement is an extraordinary remedy, and FINRA Rule 2080 specifies only three grounds to obtain expungement of customer dispute information from the CRD system: (1) the claim, allegation or information is factually impossible or clearly erroneous; (2) the registered person was not involved in the alleged investment-related sales practice violation, forgery, theft, misappropriation or conversion of funds; or (3) the claim, allegation or information is false.

Following an evidentiary hearing conducted by our founder, Chemere Ellis, where she examined essential witnesses and presented arguments and exhibits in support of the clients’ petition for expungement, the arbitration panel made affirmative findings of fact that the claims, allegations, or information were false and granted the expungement request. As a testament to Chemere’s efforts, the Panel found, “It would be a miscarriage of justice for these two Claimants to suffer any consequences that such a complaint could have by being reported on their CRD.”

Congratulations to our clients and Chemere Ellis for securing this well-deserved victory. For more information, please contact Chemere Ellis at cellis@chemereellis.com.