{"id":2011935,"date":"2023-08-25T11:56:01","date_gmt":"2023-08-25T15:56:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/massachusetts-court-rejects-robinhoods-challenge-to-state-investment-advice-rule\/"},"modified":"2023-08-25T11:59:26","modified_gmt":"2023-08-25T15:59:26","slug":"massachusetts-court-rejects-robinhoods-challenge-to-state-investment-advice-rule","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/massachusetts-court-rejects-robinhoods-challenge-to-state-investment-advice-rule\/","title":{"rendered":"Massachusetts court denies Robinhood&#8217;s challenge to state investment advice rule."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fmassachusetts-court-rejects-robinhoods-challenge-to-state-investment-advice-rule%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2011935&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<p><strong>Massachusetts Court Upholds Fiduciary Duty Rule in Robinhood Case<\/strong><\/p>\n<p>By Nate Raymond<\/p>\n<p>BOSTON (Reuters)\u2064 \u2013 Massachusetts\u2019 top court on Friday handed state securities regulators a major \u200dvictory in their enforcement action against\u200d online brokerage Robinhood by holding that a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/massachusetts-court-rejects-robinhoods-challenge-to-state-investment-advice-rule\/\" title=\"Massachusetts court denies Robinhood's challenge to state investment advice rule.\">state fiduciary \u2064duty rule<\/a> that is central to the case is \u200dvalid.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>The Massachusetts Supreme Judiciary Court reversed a lower-court judge\u2019s decision in favor \u200cof Robinhood in a \u2064lawsuit it filed after Massachusetts Secretary of \u2063State Bill Galvin in 2020 accused it \u200cof \u2063encouraging inexperienced investors to place \u2064risky trades.<\/p>\n<p>That case\u200d has been \u200don hold\u2063 while Galvin appealed a judge\u2019s March\u2062 2022 ruling invalidating a rule stating that \u200bbroker-dealers have a fiduciary obligation to \u2063provide investment \u200badvice without regard to \u200dthe interests of\u200b anyone\u2062 but their customers.<\/p>\n<p>That 2020 \u2064state fiduciary duty rule went beyond a standard the U.S. Securities \u200cand Exchange \u200dCommission adopted a year earlier and was a key part of the\u200b case Galvin, the state\u2019s top securities regulator, filed against\u2062 Robinhood.<\/p>\n<p>Galvin\u200b alleged that \u2062the\u2063 Menlo Park, California-based company\u2063 used strategies that treated \u2062trading like a game to \u2062lure young, inexperienced customers and encourage them \u2063to engage in risky trading\u200c through its online platform, including by having confetti rain down on the user\u2019s screen for\u2063 each \u2063trade made \u200don its app.<\/p>\n<p>In a statement, Galvin, \u200ba\u200c Democrat, welcomed Friday\u2019s ruling\u200b and\u200c said he looked forward to proceeding with the New \u200dEngland state\u2019s administrative \u2063case against Robinhood, which seeks\u2062 to revoke\u2062 its broker-dealer license in Massachusetts.<\/p>\n<p>\u201cThis landmark decision\u200c affirms the fiduciary \u2064duty of brokers \u2064to their customers and\u200c vindicates the role of my \u2063Securities Division to\u2063 principally, but aggressively protect investors and \u2064police broker-dealer misconduct,\u201d\u200c Galvin said in a statement.\u201d<\/p>\n<p>Robinhood \u200ddid not immediately respond to\u200b a request for comment.<\/p>\n<\/p>\n<p>  (Reporting by Nate Raymond in Boston; editing by \u200dJonathan Oatis)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/massachusetts-court-rejects-robinhoods\/attachment\/file-photo-the-logo-of-robinhood-markets-inc-is-seen\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h2>Latest\u2064 News<\/h2>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Trump&#8217;s Interview with\u200b Tucker Carlson Goes Viral<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Former President Donald Trump was the talk of the country Wednesday \u200bevening after his viral interview with former Fox News host Tucker Carlson. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Paws of War:\u200c Assisting Military Members and Their \u200cPets<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Paws of War\u200c is a non-profit, charitable organization that <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hyundai-motors-union-in-south-korea-votes-on-strike\/\" title=\"Hyundai Motor's South Korean union to vote on strike.\">assists \u2062military\u2062 members<\/a> and their \u2064pets. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Trump to Turn Himself \u200dIn for Georgia Election Case<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>45th President Donald Trump is set \u200cto turn himself in and will\u00a0 be processed at the Fulton County jail, in \u200cthe Georgia 2020\u2064 election case. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Cryptocurrency Brokers to Report New User Information<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By \u2064Hannah Lang (Reuters) \u2013 Cryptocurrency \u2062brokers,\u200c including exchanges and payment processors, would \u200dhave to report new \u2063information on users\u2019 sales and\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>India Working on New Electric Vehicle Policy<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Aditi \u2063Shah, Aditya Kalra and Nikunj Ohri NEW \u200dDELHI (Reuters) -India is working on a new electric vehicle policy that would\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>of Robinhood, ruling that the state&#8217;s fiduciary duty rule is indeed valid. This decision is a significant win for Massachusetts&#8217; securities regulators in their ongoing enforcement action against the online brokerage.<\/p>\n","protected":false},"author":66,"featured_media":2011936,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2011935","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2011935","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2011935"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2011935\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2011936"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2011935"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2011935"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2011935"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}