Exceptional and accessible legal
representation in Louisville, Kentucky

Securities Law And Litigation

Valenti Hanley PLLC maintains a comprehensive securities law practice that is national in scope. Many “niche” securities law practices focus on only one aspect of securities law, such as representing investors who have claims against broker-dealers with which they have invested money. Valenti Hanley PLLC offers a much broader complement of securities-related legal services.

Representing Clients In Regulatory Matters And Investigation

Our firm represents clients in securities-related disputes and investigations before the Financial Industry Regulatory Authority (“FINRA”), the New York Stock Exchange, the U.S. Securities and Exchange Commission (“SEC”), the Kentucky Department of Financial Institutions, the Colorado Division of Securities, and federal and state courts. Our lawyers have also successfully represented investors against broker-dealers who have mismanaged their money and clients who became the target of investigations or proceedings brought by federal and state securities regulators relating to the offering, registration and sale of securities. We understand both the legal and business realities that impact these complex matters.

Through more than 30 years of practice experience representing both individuals and businesses, Michael Valenti has acquired invaluable knowledge that covers myriad securities law issues. This in-depth knowledge and experience allow Mr. Valenti and his team to bring a unique perspective to each client’s securities law issue. Finally, and perhaps most importantly, Mr. Valenti and his team have obtained favorable results for his clients in cases that have been the subject of national and local news articles. More information about the services offered by Mr. Valenti and his team in securities law matters and his track record of results is provided below.

Representing Financial Advisers In Disputes With Their Broker-Dealers

Valenti Hanley PLLC represents financial advisers in a variety of disputes with their broker-dealer employers, including claims under employment agreements, promissory notes and in compliance-related matters. One fairly common situation involves unsavory recruitment tactics engaged in by broker-dealers. Broker-dealers often make promises to financial advisers to entice them to leave another firm and take their clients with them. So-called “upfront” money is paid to induce financial advisers to leave their existing firm. As a condition to receiving the money, however, the financial adviser must sign a promissory note agreeing to repay the “upfront” money if he or she leaves before a specific period of time. Often, broker-dealers don’t keep the promises made at the outset to entice the financial adviser to move, leaving the adviser in an untenable position at the new firm. Broker-dealers who break their promises or engage in other unsavory recruitment practices should be held accountable, and Mr. Valenti has experience in doing so.

Offering And Registering Securities

The SEC, the Kentucky Department of Financial Institutions and the Colorado Division of Securities regulate the offering, registration and sale of financial products or instruments to residents of or from the Commonwealth of Kentucky and state of Colorado, respectively, that fall within the broad definition of “securities.” Our firm represents corporate and individual clients involving their rights and duties in the issue, offering, registration and sale of securities, including:

  • Preparing private placement memoranda, subscription agreements and other legal documents on behalf of businesses and individuals involved in the issuance, offering and sale of securities
  • Counseling clients on risk disclosure language in securities offering memorandum
  • Actions for fraud or misrepresentation brought pursuant to Section 10(b)(5) of the federal Securities Act of 1933 and Kentucky securities statutes
  • Actions relating to the offering or sale of oil and gas interests
  • Injunction actions seeking to stop the offering or sale of securities
  • Actions for failing to register securities
  • Actions for failure to register as a broker/dealer or agent authorized to sell securities
  • Compensation issues over issuer/agent status and commissions paid

In the most serious of cases where criminal conduct has been alleged, Mr. Valenti represents clients in white collar criminal proceedings in state and federal court involving alleged securities fraud.

Information About Mr. Valenti And His Achievements

Michael A. Valenti is a native of Cleveland, Ohio. He received his undergraduate degree from the prestigious College of the Holy Cross in Worcester, Massachusetts, and obtained his law degree from American University’s Washington College of Law located in Washington, D.C. Mr. Valenti has more than 30 years of experience as a practicing attorney. Valenti Hanley PLLC is based in Louisville, Kentucky, but Mr. Valenti has been admitted to practice and has practiced cases in federal trial level and appellate courts located in numerous jurisdictions.

Mr. Valenti’s securities law practice is national in scope. He has represented clients in securities-related arbitration proceedings before FINRA and its predecessors and in civil cases in jurisdictions around the country. Articles about Mr. Valenti’s cases have appeared in numerous publications, and he had been invited by academic institutions to speak on securities law matters. Links to some of the articles in which Mr. Valenti is quoted and cases in which he was involved appear below:

Former Morgan Stanley Broker Won’t Have To Repay Promissory Notes

SEC Trims Use of In-House Judges

Morgan Stanley Pays Ex-Louisville Broker $300,000 In Unusual Arbitration Decision

Hillard Lyons To Pay Nearly $500,000 After Client Says It Was Too Risky With Investments

Mr. Valenti and our firm have a proven track record of success in securities related matters. By way of one recent example, in February of 2016, Mr. Valenti successfully represented a financial adviser who was being sued by a large Wall Street bank to recover over $215,000 allegedly owed under a promissory note in an arbitration proceeding before the FINRA. Mr. Valenti asserted a counterclaim in that FINRA proceeding relating to false and misleading recruitment practices engaged in by the Wall Street firm toward his client. The arbitration panel ruled that Mr. Valenti’s client did not have to repay any money under the promissory note and that the Wall Street firm owed the financial adviser $300,000 plus interest based upon its wrongful recruiting practices. This case attracted national and local media attention, with articles about the case appearing in the Wall Street Journal, Louisville Business First and trade publications concerning the financial services industry.

The Wall Street Journal article about the case described the result as a “rare win” for a financial adviser against a Wall Street bank in a promissory note case.

To learn more about how our firm can defend your interest in the offering of securities, please contact Mr. Valenti today by completing our online form or by calling 502-208-5017 or toll free at 866-617-617-6209.