Entries by admin

Cryps, Bits & Bots…Oh My!

By Michael A. Smith, Partner, Carlile Patchen & Murphy LLP Flying monkeys are tame by comparison and Dorothy would probably be terrified as virtual currency schemes (also known as cryptocurrencies) have proliferated in recent years, gaining ground as a means of exchange.  Proponents of these cryptocurrencies argue that they provide benefits of anonymity, speed, convenience, […]

An Academic Study, Investment in Human Capital and Labor Mobility: Evidence from a Shock to Property Rights

  We show that the assignment of property rights to client relationships affects employee behavior in the industry for financial advice. Our identification comes from staggered firm-level entry into The Protocol for Broker Recruiting. The Protocol effectively transfers the ownership of the client relationship from the firm to the employee.

Morgan Stanley’s Exit from Broker Protocol is Stern Warning to Broker-Dealers, Competition

Experts fear Morgan Stanley’s exit from the Protocol for Broker Recruiting is a stern warning to broker-dealers planning to leave the wirehouse and to the firms planning to hire or absorb these individuals. The clear message, say lawyers, is that doing so would lead to more payback in courts or in arbitration. Other broker-dealer firms are […]

Potential Pitfalls in Deferred Compensation Plans

By Jordan Butler, Associate, Carlile Patchen & Murphy LLP   Deferred compensation is an arrangement in which a portion of an employee’s income is deferred and paid out at a later date. A “qualified” deferred compensation plan is one that must comply with the rules and regulations of ERISA (e.g., 401(k) plans). “Nonqualified” plans give employers […]

CHECK THE EXITS!

By Joseph M. Patchen When you get on a plane, whether you are the pilot or the passenger, you make a visual check and a mental note of your exit plan in case of emergency. It doesn’t take long and hopefully never becomes important — but you always do it. Likewise, when successful business owners […]