UBS-Lehman Principal Protected Note Cases
Zamansky & Associates continues to file claims on behalf of investors who bought so-called “100% Principal Protection Notes” issued by Lehman Brothers. Investors were improperly sold these and other Lehman notes by brokers at major Wall Street firms including UBS, which sold as much as $1 billion worth of the product. As the name promises, the notes were marketed as “risk free” investments perfect for retirement accounts. In truth, the notes were unsecured obligations subject to the credit risk of Lehman, and their value was wiped out after Lehman collapsed in September 2008.
In December 2009, Zamansky & Associates secured the first arbitration award relating to UBS’s sale of these Lehman notes on behalf of an investor in South Carolina. In addition to ordering UBS to reimburse the investor for most of her losses, the arbitration panel also required UBS to pay interest, plus all related expenses, including attorneys’ fees. Since that time we have represented dozens of investors from coast to coast who were victimized by UBS’s misconduct.
In June 2011, our firm secured yet another Lehman note victory against UBS, the largest win to date with a total recovery in excess of $2 million. We were able to demonstrate that UBS’s senior management hid its true views about Lehman’s deteriorating financial condition from its customers-and even from its own brokers. We showed that the firm looked out for the bottom line of its big institutional clients rather than the hard-fought life savings of its retail customers. And we proved that as bankruptcy approached, UBS shrewdly guarded its own coffers while leaving its customers holding the bag. In the end, the FINRA arbitration panel awarded our client all of his money back (less the residual value of the notes) plus interest.
If you have suffered losses as a result of an investment in Lehman notes, please contact us by emailing jake@zamansky.com or calling (212) 742-1414. You can also fill out the contact form below.