INTERACTIVE BROKERS LLC v. SAROOP

No. 19-1077.

969 F.3d 438 (2020)

INTERACTIVE BROKERS LLC, Plaintiff-Appellee, v. Rohit SAROOP; Preya Saroop; George Sofis, Defendants-Appellants. Public Investors Arbitration Bar Association; University of Miami School of Law Investor Rights Clinic; Elisabeth Haub School of Law at Pace University Investor Rights Clinic; St. Johns University School of Law Securities Arbitration Clinic; Better Markets, Inc.; Cornell Securities Law Clinic, Amici Supporting Appellant.

United States Court of Appeals, Fourth Circuit.

Decided: August 12, 2020.


Attorney(s) appearing for the Case

ARGUED: Samuel B. Edwards , SHEPHERD SMITH EDWARDS & KANTAS LLP, Houston, Texas, for Appellants. William H. Hurd , TROUTMAN SANDERS LLP, Richmond, Virginia, for Appellee. ON BRIEF: Edward E. Bagnell, Jr. , Hugh M. Fain, III , Patricia B. Turner , SPOTTS FAIN, PC, Richmond, Virginia; David W. Miller , SHEPHERD SMITH EDWARDS & KANTAS LLP, Houston, Texas, for Appellants. Stephen C. Piepgrass , James K. Trefil , TROUTMAN SANDERS, LLP, Richmond, Virginia, for Appellee. Jordan E. McKay , MICHIEHAMLETT PLLC, Charlottesville, Virginia, for Amicus Public Investors Arbitration Bar Association. Andrew Whiteman , WHITEMAN LAW FIRM, Raleigh, North Carolina, for Amici University of Miami School of Law Investor Rights Clinic, Elisabeth Haub School of Law at Pace University Investor Rights Clinic, and St. John's University School of Law Securities Arbitration Clinic. Dennis M. Kelleher , Stephen W. Hall , Jason Grimes , BETTER MARKETS, INC., Washington, D.C., for Amicus Better Markets, Inc.

Vacated and remanded with instructions by published opinion. Judge Motz wrote the majority opinion, in which Judge Agee joined. Judge Niemeyer wrote a dissenting opinion.


After several investors suffered significant losses during a period of market volatility, they filed an arbitration claim against their broker, seeking compensation for the losses. When the arbitrators found for the investors, the broker asked the district court to vacate the award. The court ordered the arbitrators...

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