Former Bear Stearns Director Wins Arbitration Claim Against Company, According to Page Perry LLC

ATLANTA, Aug. 24 /PRNewswire/ -- Bear Stearns & Co., Inc., a unit of Bear Stearns Companies Inc. , is liable to a former account executive for soliciting his clients in violation of a severance agreement, according to a three-person panel of Financial Industry Regulatory Authority (FINRA) arbitrators.

Former Bear Stearns Senior Managing Director Gregory A. Fisher alleged in arbitration proceedings that he was told by the company in March 2005 that it was no longer interested in servicing his clients, which included financial institutions based in the Caribbean and Central America, because of increased regulatory burdens imposed by the USA PATRIOT Act. Upon Fisher's departure, the firm agreed not to solicit those clients, but immediately reassigned certain of Fisher's largest accounts and began soliciting their business.

The arbitrators found that Bear Stearns breached the severance agreement and awarded Fisher $1.6 million in damages. Fisher's award was offset by an award in favor of Bear Stearns in the amount of $780,680 for excess Bear Stearns stock erroneously distributed to Fisher after his departure.

J. Steven Parker and James A. Nofi of the Atlanta law firm Page Perry LLC represent Fisher, who now is employed by another brokerage firm.

According to Page Perry LLC, Fisher had proposed retaining the excess stock, terminating Bear's noncompete obligations and releasing Bear Stearns from further damages, as a means of settling the dispute, but Bear Stearns rejected that offer, and instead commenced the arbitration in February 2006. Fisher filed counterclaims for breach of the severance agreement.

The case is FINRA Dispute Resolution Arbitration No. 06-00756. The five- day arbitration hearing was held in Atlanta in August 2007.

Attorney Contacts: J. Steven Parker and James A. Nofi, Page Perry LLC, (770) 673-0047.

Media Contact: Erin Powers, Powers MediaWorks LLC, for Page Perry LLC, (281) 362-1411.

About Page Perry LLC. Based in Atlanta, the firm enjoys a national reputation for successfully representing investors against financial institutions and insurance companies for engaging in unlawful conduct. Our attorneys also have the experience to represent clients in a wide array of other areas that include representation of privately held businesses and their owners and investors in negotiations and disputes concerning control and management of those businesses. The Firm assists clients in the creation, acquisition, merger, reorganization, and sale of businesses and business entities as well as in the legal aspects of conducting business. We also represent issuers and sellers of securities, brokers, investment advisors, and other licensed securities professionals in securities transactions, regulatory matters, internal investigations, regulatory proceedings, and employment matters. For more information, please visit http://www.pageperry.com/.