Richard Agay v. UBS Financial Services Inc.

I.

BACKGROUND

On March 7, 2024, Plaintiffs filed their complaint in Los Angeles County Superior Court. [Doc. # 1.] They brought claims for negligence, breach of fiduciary duty, elder abuse, fraud, and bad faith. They also incorporated class action allegations on behalf of other UBS customers. Plaintiffs allege they had seven UBS accounts and Geller was their financial advisor. Jd. 47. They purchased First Republic Bank preferred stock on May 2 and October 7, 2019, allegedly based entirely on Geller’s advice and for a total purchase price of approximately $200,000. Jd. □ 11, 13. UBS failed to inform Plaintiffs of subsequent indications First Republic was in “dire straights [sic],” including when First Republic announced it would not pay dividends on common stock and then on preferred stock. See id. J] 17, 19, 20-22. Plaintiffs learned of the decision to suspend dividends on their stock only in May 2023, when regulators seized First Republic, sold its assets, and rendered their stock all but worthless. /d. § 21-22. Plaintiffs allege that had they learned of First Republic’s March 16, 2023 decision to suspend its next common stock dividend, they would have sold their…