Turner

FACTS

Appellant Turner is an 81-year-old widow who had an investment account managed by respondent Robert Osur, a broker for respondent Centaurus Financial. When she opened the account, Turner told Osur that she needed to withdraw $3,000 per month for living expenses. Osur allegedly invested Turner’s money in a variable annuity that earned him a high commission, but which failed to earn enough income, fluctuated in value, and penalized Turner every time she withdrew money. Turner filed a statement of claim and demand for arbitration against respondents with the National Association of Securities Dealers (NASD) in June 2009.2 She was represented by attorney Nancy Undem. Respondents answered the claim, denied the allegations of wrongdoing, and asked that Turner’s claim be dismissed. In July 2010, Undem associated securities consultant Jules Leo Federman to assist in the representation. Federman is not a lawyer. At respondents’ instigation, the arbitration panel issued an order to show cause (OSC) why Federman should not be

Statutory references in this opinion are to the Code of Civil Procedure, unless otherwise indicated. The NASD is now known as the Financial…