Merrill Seeks to Vacate $10 Million Arbitration Award in Deferred Comp Dispute, Citing Arbitrator Bias

A FINRA arbitration panel recently ordered Merrill Lynch to pay two former brokers about $5 million in deferred compensation and tacked on an additional $5 million in punitive damages.  The panel found that a committee set up to decide deferred compensation payouts when brokers left was a "sham."  Merrill promptly went to court to try to vacate the award, charging that the chair of the panel was biased and "demonstrated overt hostility" toward Merrill.  According to Merrill, the chair failed to disclose that her husband is a plaintiff's attorney who has previously sued Merrill.  InvNews, Merrill Lynch loses $10.2M broker-pay case