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FINRA Dispute Resolution
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Last Updated: 5/14/08
Dispute Resolution Statistics |
Statistics on cases filed with NYSE Arbitration prior to August 6, 2007, are available at NYSE Arbitration.
Summary Arbitration Statistics April 2008
| New Case Filings through April: |
| 2006 |
2007 |
2008 |
2008 Vs 2007 |
| 1,803 |
1,105 |
1,310 |
19% |
| Number of Cases Closed through April: |
| 2006 |
2007 |
2008 |
2008 Vs 2007 |
| 2,680 |
1,865 |
1,412 |
-24% |
| Turnaround Time* (in months) through April: |
| |
2006 |
2007 |
2008 |
2008 Vs 2007 |
| Overall |
13.9 |
13.4 |
13.5 |
1% |
| Hearing Decisions |
17.1 |
16.0 |
16.2 |
1% |
| Simplified Decisions |
5.3 |
6.7 |
6.3 |
-6% |
| * The timing of the arbitration process is heavily influenced by Code of Arbitration Procedures time limits, the parties, and the panel. |
Summary Mediation Statistics April 2008
| Mediation Cases in Agreement through April: |
| 2006 |
2007 |
2008 |
2008 Vs 2007 |
| 434 |
320 |
178 |
-44% |
| Mediation Cases Closed through April: |
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2006 |
2007 |
2008 |
2008 Vs 2007 |
| Cases Closed |
455 |
325 |
254 |
-22% |
| Percent Settled |
83% |
80% |
71% |
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| Turnaround Time (in Days) through April: |
| 2006 |
2007 |
2008 |
2008 Vs 2007 |
| 103 |
122 |
139 |
14%
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Arbitration Cases Filed
| Year |
Cases |
| 1994 |
5,586 |
| 1995 |
6,058 |
| 1996 |
5,631 |
| 1997 |
5,997 |
| 1998 |
4,938 |
| 1999 |
5,608 |
| 2000 |
5,558 |
| 2001 |
6,915 |
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| Year |
Cases |
| 2002 |
7,704 |
| 2003 |
8,945 |
| 2004 |
8,201 |
| 2005 |
6,074 |
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2006
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4,614 |
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2007
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3,238 |
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YTD 2008
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1,310 |
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Controversies Involved in Arbitration Cases
| Type of Controversy* |
2004 |
2005 |
2006 |
2007 |
YTD 2008 |
| Margin |
168 |
78 |
103 |
45 |
15 |
| Churning |
449 |
315 |
257 |
133 |
88
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| Unauthorized Trading |
520 |
395 |
242 |
174 |
80 |
| Failure to Supervise |
2,743 |
1,828 |
1,425 |
830 |
293 |
| Negligence |
3,398 |
2,225 |
1,619 |
891 |
372 |
| Omission of Facts |
2,195 |
1,123 |
588 |
275 |
216 |
| Breach of Contract |
2,723 |
1,987 |
1,397 |
953 |
457 |
| Breach of Fiduciary Duty |
5,426 |
3,514 |
2,621 |
1,616 |
721 |
| Unsuitability |
2,697 |
1,926 |
1,347 |
695 |
279 |
| Misrepresentation |
3,230 |
1,826 |
1,187 |
739 |
429 |
| Online Trading |
4 |
7 |
8 |
1 |
1 |
*Each case can be coded to contain up to four controversy types. Therefore the columns in this table cannot be totaled to determine the number of cases served in a year.
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Security Types Involved in Arbitration Cases
| Type of Security* |
2004 |
2005 |
2006 |
2007 |
YTD 2008 |
| Corporate Bonds |
188 |
106 |
82 |
71 |
44
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| Certificates of Deposit |
20 |
31 |
28 |
16 |
11 |
| Mutual Funds |
1,221 |
888 |
679 |
395 |
222 |
| Options |
299 |
153 |
155 |
110 |
51 |
| Common Stock |
2,557 |
1,348 |
1,257 |
790 |
249 |
| Limited Partnerships |
36 |
24 |
21 |
19 |
11 |
| Annuities |
596 |
460 |
446 |
243 |
84 |
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*Each case can be coded to contain up to four security types. Therefore the columns in this table cannot be totaled to determine the number of cases served in a year.
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Arbitration Cases Closed by Year
| Year |
Cases |
| 1994 |
4,484 |
| 1995 |
5,779 |
| 1996 |
6,331 |
| 1997 |
5,880 |
| 1998 |
5,484 |
| 1999 |
4,767 |
| 2000 |
5,473 |
| 2001 |
5,582 |
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| Year |
Cases |
| 2002 |
5,957 |
| 2003 |
7,278 |
| 2004 |
9,209 |
| 2005 |
9,043 |
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2006
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7,212 |
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2007
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5,345 |
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YTD 2008
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1,412 |
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How Arbitration Cases Close
| Cases Decided by Arbitrators |
2004 |
% of Cases |
2005 |
% of Cases |
2006 |
% of Cases |
2007 |
% of Cases |
2008 |
% of Cases |
| After Hearing |
1,915 |
21% |
1,767 |
20% |
1.265 |
18% |
986 |
19% |
241 |
17% |
| After Review of Documents |
508 |
6% |
355 |
4% |
192 |
4% |
147 |
3% |
67 |
5% |
| Total |
2,423 |
27% |
2,122 |
24% |
1,457 |
24% |
1,133 |
21% |
308 |
22% |
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| Cases Resolved by Other Means |
2004 |
% of Cases |
2005 |
% of Cases |
2006 |
% of Cases |
2007 |
% of Cases |
2008 |
% of Cases |
| Direct Settlement by Parties |
3,700 |
41% |
3,940 |
44% |
3,503 |
50% |
3,008 |
57% |
692 |
49% |
| Settled Via Mediation |
1,201 |
13% |
910 |
10% |
730 |
10% |
476 |
9% |
136 |
10% |
| Withdrawn |
677 |
7% |
806 |
9% |
643 |
9% |
370 |
7% |
164 |
12% |
| All Others* |
1,073 |
12% |
1,127 |
13% |
738 |
10% |
331 |
6% |
110 |
8% |
| Total |
6,651 |
73% |
6,783 |
76% |
5,614 |
79% |
4,185 |
79% |
1,102 |
78% |
| *All Other reasons for closed includes cases closed by: Stipulated Award, Bankruptcy of critical party; Uncured Deficient Claim; Forum Denied; Stayed by Court Action, etc. Note cases counted as closed in this report do not include those cases that closed and were then reopened. |
Results of Customer Claimant Arbitration Award Cases
| Year Decided |
All Customer Claimant Cases Decided (Hearings & Paper) |
Percentage of Total Claimant Cases Closed |
Percentage of Cases Where Customer Awarded Damages* |
| 2003 |
1,513 |
28% |
49% (742 cases) |
| 2004 |
1,894 |
27% |
47% (888 cases) |
| 2005 |
1,610
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24%
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43% (687 cases)
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| 2006 |
1,011 |
21% |
42% (425 cases) |
| 2007* |
671
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21%
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37% (245 cases)
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* Please note: In 2007, nearly 80 percent of customer cases, closed through settlements or awards, resulted in monetary or non-monetary recovery for the investor.
Arbitrators by Type
This report lists all available arbitrators by Non-Public and Public Type.
| Arbitrator Type |
Total |
| Non-Public |
2,880 |
| Public |
3,919 |
| Total |
6,799 |
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