What remedies are available to parties to a securities arbitration case?

In Tennessee, parties to a securities arbitration case may be entitled to remedies such as an award of money damages, rescission of a security transaction, or an injunction to stop a party from engaging in a certain course of action. In cases involving money damages, an arbitrator can award compensatory damages, punitive damages, or both. Compensatory damages are those which seek to reimburse a party for their losses in the dispute, while punitive damages are those which seek to punish a party for their wrongful conduct. When a party has sought rescission of a security transaction, they are asking that the security transaction be reversed and any money that was exchanged during the transaction be returned to the parties. In order to receive this remedy, the party must demonstrate that the security transaction was not entered into in good faith and that there were material misrepresentations or omissions. Finally, parties to a securities arbitration case can also seek an injunction to stop a party from engaging in any conduct related to the securities dispute. For example, a party can request an injunction to prevent the other party from selling a certain security or to prevent the other party from transferring certain assets. An injunction is a highly discretionary remedy, and the party must demonstrate that irreparable injury would occur without the injunction.

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What remedies are available to parties to a securities arbitration case?

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