Financial Advisor William A. Shopoff has Been the Subject of a Four Customer Disputes

William A. Shopoff (Bill Shopoff) (CRD#:1273471) is a registered broker at Shopoff Securities, Inc. in Irvine, CA.

Broker’s Background

He the securities industry in 1984, and previously worked with William Shopoff Securities, Inc.

Current and Past Allegations of Conduct Leading to Investment Loss

According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in December 2021 William Shopoff became the subject of a customer dispute where the Plaintiff alleged, “misstatements and omissions, and related claims, in connection with Tenant-in-Common/1031 Exchange investment transactions in real estate property in late 2016.” The damage amount requested was $180,000 and the customer dispute settled for $2,000,000.

In addition, William Shopoff was the subject of three other customer disputes:
• May 7, 2019—“ Plaintiffs asserted claims for breach of guaranty (contract), for set aside of allegedly voidable transfers, and for declaratory relief, relating to alleged breaches of written Guaranty agreements (entered into in 2014 and 2015) and alleged post-breach transfers.” The damage amount requested was $40,000,000 and the customer dispute settled for $28,750,000.

• May 6, 2019—“ Plaintiff asserted two claims, for breach of contract and violation of the Uniform Voidable Transactions Act, relating to an alleged breach (in February 2018) of a written Guaranty entered into in April 2014, and alleged post-breach transfers.” The damage amount requested was $8,000,000 and the customer dispute settled for $6,500,000.

• December 27, 2018—“ Former employee of Firm affiliate (Executive Vice President, Commercial Real Estate), and related investment entities, asserted claims for breach of contract against individuals and family trust, as guarantors, relating to two guaranties executed in 2012 and 2014. Specifically, plaintiff asserted claims for breach of guaranty, specific performance, and breach of the covenant of good faith and fair dealing, as well as a single conclusory (unsupported) claim for fraud based on alleged statements made at the time of the guaranties.” The damage amount requested was $4,250,895 and the customer dispute settled for $4,750,000.

For a copy of William A. Shopoff’s FINRA BrokerCheck, click here.

We Help Investors Recover Investment Losses

Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.

Reasonable basis suitability requires that a recommended investment or investment strategy be suitable or appropriate for at least some investors. Reasonable basis suitability requires an advisor to conduct adequate due diligence so that he or she can determine the risks and rewards of the investment or investment strategy.

Quantitative suitability requires a brokerage firm or financial advisor with actual or de facto control over a customer’s account to have a reasonable basis for believing that a series of recommended transactions – even if suitable when viewed in isolation – is not excessive and unsuitable for the customer when taken together in light of the customer’s investment profile. No single test defines excessive activity, but factors such as the turnover rate, the cost-equity ratio, and the use of in-and-out trading in a customer’s account may provide a basis for a finding that a member or associated person has violated the quantitative suitability obligation.

Customer-specific suitability requires that a member or associated person have a reasonable basis to believe that the recommendation is suitable for a particular customer based on that customer’s investment profile. Among the criteria that a financial advisor must evaluate to satisfy his or her customer-specific suitability obligations include the investor’s age, tax status, time horizon, liquidity needs, and risk tolerance; a client’s other investments, financial situation and needs, investment objectives, and any other information disclosed by the customer should also be considered.

The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at (800) 931-8452 or by email at mwolper@wolperlawfirm.com.

Attorney Matthew Wolper

Attorney Matthew WolperMatt Wolper is a trial lawyer who focuses exclusively on securities litigation and arbitration. Mr. Wolper has handled hundreds of securities matters nationwide before the Financial Industry Regulatory Authority (FINRA), American Arbitration Association (“AAA”), JAMS, and in state and federal court. Mr. Wolper has handled and tried cases involving complex financial products and strategies ranging from traditional stocks and bonds to options, margin and other securities-based lending products, closed/open-end mutual funds, structured products, hedge funds, and penny stocks. [Attorney Bio]