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GREGORY J. SCHWARTZ & CO., INC. v. FAGAN

Docket Nos. 229389, 229401, 234076.

660 N.W.2d 103 (2003)

255 Mich. App. 229

GREGORY J. SCHWARTZ & COMPANY, INC., and Gregory J. Schwartz, Plaintiffs-Appellants, v. Barry S. FAGAN, Marcia C. Fagan, DIB & Fagan Profit Sharing Plan & Trust, DIB & Fagan P.C. Profit Sharing Plan, Allan J. DIB, Salma DIB, National Association Dealers, Inc., and NASD Regulation, Inc., Defendants-Appellees. Gregory J. Schwartz and Gregory J. Schwartz & Company, Inc., Plaintiffs-Appellants, v. Richard Krygiell, National Association of Security Dealers, Inc., and NASD Regulation, Inc., Defendants-Appellees. Gregory J. Schwartz & Company, Inc., Plaintiff-Appellant, v. Andrew Polinsky, Jr., Andrew Polinsky Living Trust, and NASD Regulation, Inc., Defendants-Appellees.

Court of Appeals of Michigan.

Decided January 31, 2003, at 9:05 a.m.

Released for Publication April 18, 2003.

Attorney(s) appearing for the Case

Sullivan, Ward, Bone, Tyler & Asher, P.C. (by David S. Snyder and Sheri B. Cataldo), Southfield, for the plaintiffs.

Anthony V. Trogan, P.L.L.C. (by Anthony V. Trogan), West Bloomfield, for Barry S. Fagan, Richard Krygiell, and others.

David M. Foster, P.C. (by David M. Foster), Farmington Hills, for Andrew Polinsky, Jr., and others.

Before: WHITBECK, C.J., and O'CONNELL and METER, JJ.

METER, J.

In these consolidated appeals, defendants1 obtained participation certificates in the Mortgage Corporation of America (MCA) through the brokerage services of plaintiff Gregory J. Schwartz & Co., Inc. (Schwartz & Co.), a member of the National Association of Securities Dealers (NASD). After defendants lost money because of the failure of the MCA, they filed arbitration claims...

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