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UBS-Lehman Principal Protected Note Cases

* 01/25/13 – Attention Customers of UBS Financial Services Who Purchased Lehman Brothers 100% Principal Protection Notes

* 12/12/12 – Lehman Structured Noteholders May Not Be Protected By The Class Action Against UBS

03/09/12 – Zamansky LLC Issues Alert for Lehman 100% Principal Protection Note Holders

Securities arbitration attorney Jake Zamansky has authored a new article on the risks of investing in structured products for Wall Street Lawyer magazine. Here is a short summary of the article:

The past several years have seen some important developments in the field of investor fraud cases against Wall Street firms relating to the sale of “structured products.”

Sales of structured products by Wall Street firms to retail and institutional investors have skyrocketed in recent years. As most investments have been providing very low yield or return, firms have pushed complex and opaque structured products which, in theory, offer an opportunity for enhanced and outsized returns to investors who are “chasing yield,” but very often provide hidden risks and substantial losses.

This article examines some of the problems encountered by investors in the sale of structured products and some of the recent decisions by courts, arbitration panels and regulatory agencies relating to the sale of structured products.

If you have invested structured products, particularly those issued by Lehman Brothers or linked to the performance of Apple stock, please contact us using the contact form at the left side of this page or by calling us at (212) 742-1414 for a free consultation with a FINRA arbitration attorney to discuss your legal rights.

Zamansky LLC 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 LLC 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 or calling (212) 742-1414.

Client Reviews

“Jake Zamasky and his colleagues represented me in a FINRA arbitration case against a large multinational bank and succeeded in obtaining an award for the full amount of my investment losses. I would highly recommend the Zamansky firm for their experience in securities litigation, their level of detailed research and case preparation, and their ability to effectively fight for what’s right.”

Richard R.

“Throughout my entire case, Jake Zamansky was incredibly responsive and spent time walking me through each step of the process. He is professional and worked with my challenging schedule, even meeting with me nights and on weekends. He knew exactly which turn to take when it came to my case and yet was respectful of any decisions I wanted to make resulting in a positive outcome.”

Donald A.

“Jake Zamansky and his firm represented me in a FINRA arbitration case to recover investment losses. Jake and his team were very professional and worked very hard preparing for trial and then reaching a substantial settlement of our case. I would highly recommend them.”

William E.

“Jake Zamansky represented me in a FINRA arbitration case which allowed me to recover a substantial portion of investment losses. He is truly an expert in this space and I would highly recommend him to those investors who may have been been a victim of investment fraud.”

Chris K.

“Jake and his team did a great job communicating with me throughout the process of my lawsuit. I would recommend him to anyone looking to sue UBS for unethical practices.”

Mike A.
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