What is Private Placement fraud? Private placement fraud involves deceptive practices in the sale of securities that are generally not offered to the public. This can include misrepresenting an investor’s qualifications, omitting crucial information that could affect investment decisions, or recommending unsuitable investments based on the investor’s financial situation or experience.

Such fraud often features high-pressure sales tactics, unsolicited offers, and a lack of transparency, this all aimed at exploiting investors.

Private placement loss and investment fraud lawyer Robert Wayne Pearce at the Law Offices of Robert Wayne Pearce P.A., has extensive experience representing investors and organizations who have been the victim of fraud from various risky investments such as private placements.

Since 1980, we have been devoted to helping investors and have successfully recovered over $175 million in settlements and verdicts on their behalf. View client testimonials here.

Whether you’re an accredited investors or not, don’t let securities fraud ruin your financial future – contact the Law Offices of Robert Wayne Pearce, P.A. today via our quick-response form, or call (800) 732-2889.

What Is a Private Placement?

A private placement is a securities offering exempt from full SEC registration, typically sold to a limited number of accredited investors. These investments are often unregistered, illiquid, and come with high risk.

The private placement offering mechanism is generally used by start-up companies with little or no history of operations.

Common Types of Private Placement Fraud

  • Misrepresentation of Investor Qualifications: Brokers or advisors misrepresent an investor’s income, net worth, or investment experience to the issuer to qualify the investor for participation in the offering.
  • Omission of Material Facts: Failing to disclose essential details that affect investment decisions, such as the issuer’s financial problems or conflicts of interest.
  • Selling Unsuitable Investments: Recommending private placements to investors for whom they are not suitable, considering their income, net worth, or investment experience.
  • Unauthorized Sales and High-Pressure Tactics: These investment vehicles are not supposed to be solicited by any broker, so be wary of “cold call” solicitations of private placement investments because they are probably coming from a “boiler room” loaded with unscrupulous salespersons whose only motivation is the high sales commission associated with these private placement investments.

Warning Signs of Fraud in Private Placement

Unrealistic Performance Projections: Brokers making investment performance projections without any reasonable basis.

Unsolicited Investment Offers: Especially those promising high returns with little risk.

High-Pressure Sales Tactics: Urging immediate decisions without adequate disclosure.

Lack of Transparency: Reluctance to provide detailed documentation or clear explanations.

Your Rights and Legal Remedies After Suffering Private Placement Losses from Fraud

Investor Rights

As an investor, you are entitled to truthful and complete information when making investment decisions. Securities laws protect you from fraudulent activities and ensure fair dealings in the market. Even if private placements are exempt from SEC registration, they are not exempt from anti-fraud provisions of federal or state securities laws.

Legal Actions You Can Take

  • Filing a Claim Against Brokers or Advisors: If your broker misrepresented the investment, failed to disclose risks, or recommended unsuitable investments, you may recover your losses through FINRA arbitration with a loss recovery lawyer like Robert Pearce who specializes in these complex financial investments.
  • Pursuing Litigation Against Issuers: If the issuer engaged in fraudulent activities, you might file a lawsuit to hold them accountable.
  • Seeking Restitution and Damages: Recover financial losses and possibly additional damages for misconduct.

How Our Firm Can Assist You with Private Placement Losses and Fraud

Comprehensive Case Evaluation

At the Law Offices of Robert Wayne Pearce P.A. offer a free, no-obligation consultation to assess your case. Our attorneys will provide an honest evaluation, explain your legal options, and outline potential strategies to recover your investment losses.

Personalized Legal Representation

We believe in providing personalized legal services. Our team works closely with you to develop a legal strategy that aligns with your goals. From conducting thorough due diligence to representing you in arbitration or court, we handle all aspects of your case.

Aggressive Pursuit of Your Claims

Our attorneys are committed to vigorously advocating for your rights. We will investigate the fraudulent activities, gather evidence, and hold the responsible parties accountable.

Talk with a Securities Fraud Attorney Today

If you believe you’ve been misled or defrauded by a broker or advisor in connection with private placements, you’re not alone—and you have rights.

The experienced securities fraud attorneys at the Law Offices of Robert Wayne Pearce, P.A., are *very* experienced with private placement fraud and losses and are here to help you navigate the complex legal landscape and fight for the recovery you deserve.

Call us today at 800-732-2889 or fill out our online contact form for a free, confidential consultation. Don’t let investment fraud via private placements rob you of your financial security—take action now.

Frequently Asked Questions

What Should I Do If I Suspect Private Placement Fraud?

Immediately document all communications and contact a securities fraud attorney to evaluate your case. Be careful what you sign and make sure the investor questionnaire is an accurate portrayal of you as an investor.

How Long Do I Have to File a Claim?

The statute of limitations for securities fraud varies by state and the specific circumstances of your case. It’s essential to act promptly to preserve your rights.

Can I Recover All My Lost Investments?

While recovery depends on the specifics of your case, our goal is to maximize the restitution you receive. We will work diligently to recover your financial losses and seek additional damages if applicable.

$21,000,000 Final Judgment for Civil Theft
$8,500,000 Stockbroker Bond Fraud Settlement
$8,200,000 Stockbroker Margin Account Liquidation Settlement
$7,800,000 Stockbroker Option Fraud Settlement
$6,000,000 Stockbroker Bond & Bond Fund Fraud Settlement
$5,800,000 Arbitration Award for Stockbroker Fraud
$5,500,000 FINRA Arbitration Settlement
$5,000,000 FINRA Arbitration Settlement
$4,300,000 Federal Court Class Action Settlement
$3,500,000 Florida State Court Settlement
$3,350,000 FINRA Arbitration Settlement
$3,200,000 FINRA Arbitration Award
$2,750,000 FINRA Arbitration Award
OVER $175 MILLION RECOVERED FOR CLIENTS Contact Our Lawyers for Nationwide Help

Hear From Our Clients

At The Law Offices of Robert Wayne Pearce, P.A., we believe the ultimate barometer of our success is surpassing the expectation of our clients.

The following clients have direct knowledge of our firm's processes from the inside and experienced our fierce advocacy.

View More Client Testimonials

Hear From Our Clients

  • "Bob Pearce is the real-life Marvel Hero who fights for small investors against brokerage institutions who manage investors’ hard-earned money carelessly, and even worse, conduct fraud outright."

    Bob Pearce is the real-life Marvel Hero who fights for small investors against brokerage institutions who manage investors’ hard-earned money carelessly, and even worse, conduct fraud outright. For years, we were misled by a brokerage firm who told us they would correct the wrong or compensate us for their mistakes. Only after we started working with Bob, we realized how powerful and wonderful it is to have a top legal expert by your side. Bob is immensely detail oriented, knowledgeable, professional, and confident. We are more than happy with the outcome Bob achieved for us within just a few months. Thank you, Bob!

    - Q Wang -
  • “Robert Pearce is part of that unusual breed of lawyers that are able to create empathy with clients and thoroughly adopt their cause”

    No half efforts here. He and his group of professionals are outstanding strategists that can execute with precise fervor and unyielding determination. Theirs is a huge wave of facts, research, precedents and preparation, that has impressed me in its thoroughness and creativity, and most importantly with the results. No stone goes unturned and no effort is ever spared. In my book, he and they are those of a very rare kind that one wants to keep for a very long time.

    - Ramon Flores-Esteves -
  • “Just like the song from HAMILTON, it's so nice to have Bob Pearce on your side.”

    Just like the song from HAMILTON, it's so nice to have Bob Pearce on your side. He is the consumate plaintiff's lawyer: smart. dedicated, fully able to try a case but a great negotiator in a mediation. He did a wonderful job for us, fully supporting us through the process and more than holding his own against a large national law firm.

    - Maurice Z. -
  • "Mr. Pearce and his staff exceeded all of our expectations."

    Mr. Pearce and his staff exceeded all of our expectations. We were able to reach a settlement that was of our complete satisfaction, all within a very smooth, professional and efficient process. Mr. Pearce is now not only our lawyer but our family friend. We highly recommend him and his team!

    - Severiano L. -
  • "For the best fighting chance, Robert Pearce is the lawyer you want in your corner."

    This law firm is the real deal. We were so lucky that they took our case as they have so much experience in securities and all the wrongdoing that happens in these investment companies where they mislead you and your money (as in our case) into schemes that are not what you think they are. Mr. Robert Pearce is one of the best lawyers around, a truly professional who will fight for you and will tell you as it is all the time. We could not have gone thru this experience if it was not for all the advice, guidance and support he and all of his staff and associates brought to the game. For the best fighting chance, Robert Pearce is the lawyer you want in your corner.

    - Astrid M. -
  • "He never felt intimidated and his study of the case and perseverance prevailed at all times."

    Attorney Robert Pearce was our lawyer in a case against a Brokerage Firm and I'm witness to his ability and intelligence to deal with lawyers from the most prominent law firm in New York which was the key to recovering much of our losses cheered by their negligence. He never felt intimidated and his study of the case and perseverance prevailed at all times.

    - Jose A. C. -
  • "In the end, Bob and I had the last laugh when the arbitrators awarded me almost 6 million dollars."

    No lawyer except Bob said I had a chance of winning. When UBS Lawyers laughingly offered me zero to settle the dispute, Bob became even more determined to prove everybody wrong. Bob was extremely prepared, and always a step ahead of the opposing attorneys throughout the arbitration. In the end, Bob and I had the last laugh when the arbitrators awarded me almost 6 million dollars.

    - J. Blanco -
  • "Every meeting and phone call was made with dedication and desire to help our family every step of the way."

    Robert's team is excellent. They are very competitive in what they do and they are very responsible. Every meeting and phone call was made with dedication and desire to help our family every step of the way. Their professionalism, responsibility and empathy assured us that we were in good hands. Recommend to everyone.

    - Mayra A. -

FREE INITIAL CONSULTATION WITH ATTORNEYS WHO UNDERSTAND THESE COMPLEX INVESTMENTS

The Law Offices of Robert Wayne Pearce, P.A., represents clients throughout Florida and the United States who have lost money investing in hedge funds, funds of hedge funds, structured products known as “principal protected notes,” and private placement offerings offered by the securities industry nationwide. Attorney Pearce has a complete understanding of the law surrounding these types of investments, and he knows the best approach to seeking the recovery of your losses. If you made one of these investments and it was misrepresented or the broker failed to disclose all of the facts and you suffered losses, you should call Mr. Pearce at 1-800-732-2889 for your free consultation on whether you have a case or contact us online.