Request Legal Help Now - Free

Investors Filing Claims against UBS Lehman Brothers Principal Protected Notes

. By
Concord, NHInvestors who had money in UBS Principal Protected Notes might have given a sigh of relief when they heard about the collapse of Lehman Brothers. They might have said they were happy not to have their money tied up in Lehman Brothers structured notes or other Lehman Brothers products. If so, they were probably stunned to learn that their UBS Principal Protected Notes were actually a Lehman Brothers Product, and when Lehman Brothers collapsed, the UBS Lehman Principal Protected Notes lost their value.

Of course, that the investment could lose its value at all was a surprise to many investors. The name of the investment, "Principal Protected," suggested that at the very least the principal invested in the fund would be safe from losses, according to investors. So when investors discovered that Lehman backed the principal and was declaring bankruptcy, many were stunned.

Some are now filing lawsuits and/or arbitration claims against UBS, alleging they were not adequately warned about the risk associated with the Principal Protected Notes, nor were they warned when UBS reportedly had concerns about Lehman's future.

New Hampshire has also filed a complaint against UBS, alleging "dishonest and unethical business practices," including exaggerating the safety of the Principal Protected Notes and failing to adequately supervise employees in the distribution of the notes. The state argues that UBS sold the Principal Protected Notes even after it was clear that Lehman Brothers would fail because of subprime mortgages.

UBS has said that it followed regulatory requirements regarding risks associated with the notes.

Investors, however, say they did not know Lehman Brothers was the sole guarantor of the UBS Principal Protected Notes. Furthermore, they say they were told the notes were risk-free.

UBS has already faced arbitration related to the Principal Protected Notes. These include one couple, Christine and Thomas Motamed, who were awarded $2.2 million in their FINRA (Financial Industry Regulatory Authority) filing against UBS. The award was reportedly the seventh win for claimants who filed arbitrations against UBS linked to the Principal Protected Notes. In another FINRA arbitration, a retired couple was awarded $530,000 for their losses related to the Principal Protected Notes.


UBS Lehman Principal Protected Notes Legal Help

If you or a loved one have suffered losses in this case, please click the link below and your complaint will be sent to a financial lawyer who may evaluate your UBS Lehman Principal Protected Notes claim at no cost or obligation.


Fields marked * are mandatory. Please read our comment guidelines before posting.


Note: Your name will be published with your comment.

*Email Address:

Your email will only be used if a response is needed.
*Your Comment:

Are you the defendant or a subject matter expert on this topic with an opposing viewpoint? We'd love to hear your comments here as well, or if you'd like to contact us for an interview please submit your details here.

Click to learn more about
Request Legal Help Now! - Free