NEW YORK, Nov. 16, 2005 (PRIMEZONE) -- The Law Firm of Klayman & Toskes, P.A., (http://www.nasd-law.com) represents large shareholders and employees of telecommunications companies before National Association of Securities Dealers and New York Stock Exchange securities arbitration panels who have opted out of class action settlements. The arbitration claims that have been filed are against major Wall Street brokerage firms, for alleged sales practice violations concerning the management of concentrated or single stock positions and the unsuitable use of margin. These claims focus on the failure to implement risk management strategies to protect the value of these large stock positions.
Recently, a partial class action settlement has been announced in Case No. 01-cv-1451-REBP-CBS on behalf of Qwest Communications International Inc. ("Qwest") (NYSE:Q) investors who suffered losses during the time period of May 24, 1999 to July 28, 2002 from purchasing or otherwise acquiring the securities of Qwest.
During the time period of May 24, 1999 to July 28, 2002, Qwest stock declined over 90% in value, resulting in a loss of over $60 billion in market capitalization. Many full service Wall Street brokerage firms' research departments maintained "Buy" recommendations which members of the class relied upon when determining their investment strategy or when deciding when to buy, hold or sell their positions.
Arbitration, as an alternative path of recovery, depends on whether alleged damages are large enough to justify the costs required to prosecute a claim. An arbitration claim is made as a consequence of making unsuitable investment recommendations and the failure to employ risk management strategies for Qwest stockholders holding concentrated or single stock positions. Klayman & Toskes, P.A. represents investors that have been harmed by the unsuitable recommendations of their full service brokerage firms.
Klayman & Toskes represents investors throughout the nation. The sole purpose of this release is to investigate similar patterns of practice on behalf of major Wall Street brokerage firms who recommended the purchase of Qwest stock. If you have any information pertinent to our inquiry, please contact Lawrence L. Klayman, Esquire at (888)997-9956 or visit our website at www.nasd-law.com