Securities Lawyers Blog
According to records kept by The Financial Industry Regulatory Authority (FINRA) financial Broker Patrick Latta (Latta), previously associated with LPL Financial LLC, has at least 2 disclosable events. These events include 2 customer complaints, alleging that Latta recommended unsuitable investments in different investment products including debt securities among other allegations and complaints.
FINRA BrokerCheck shows a pending customer complaint with a damage request of $443,582.65 on February 19, 2026.
Claimant alleges improper distribution of half of IRA assets to beneficiary upon death of client in September of 2025. Assets were distributed to two named beneficiaries by the custodian in September of 2025. Claimant alleges client intended to update beneficiaries to a single trust beneficiary for claimant’s benefit prior to death and submitted estate and trust documents evidencing that intent in 2022 and 2023, as well as made inquiries in 2025. Mr. Latta was the client’s financial advisor during the period in question. Claimant was client’s wife and was not a client of Mr. Latta’s.
FINRA BrokerCheck shows a pending customer complaint with a damage request of $500,000.00 on February 05, 2026.
Claimant alleges claims of breach of fiduciary duty, negligence, failure to supervise, and violations of FINRA Rules 2111, 2010, 2020, 2210 and 3110, among others, against respondent LPL Financial, LLC in connection with the distribution of assets from an IRA to the named beneficiaries upon the death of the client in September of 2025. Claimant alleges that the assets were improperly distributed as they submitted documents evidencing an intent to change the designated beneficiaries in 2022 prior to the client’s death. Mr. Latta was the client’s financial advisor during the period in question. Claimant was client’s wife and was not a client of Mr. Latta’s.
In the financial industry advisors must meet the requirements of the SEC’s Regulation Best Interest (Reg BI) in providing investment advice and services. Reg BI established a ‘best interest’ standard for brokerage firms and registered representatives. This standard applies when brokers make recommendations to retail customer for any securities transaction or investment strategy involving securities, including recommendations of types of accounts. This Reg BI standard of care applies to registered representatives making recommendations to customers in the purchase, sale, or exchange of securities or the implementation of investment strategies involving securities and non-securities. The rule also applies to the handling of opening accounts such as account transfers and types of accounts being recommended to be opened.
Next, the broker must understand the investor’s investment background and profile. A customer’s profile includes information that describes the investor’s financial situation and needs. Information here will include their outside securities accounts and investments; relevant assets and debts; tax bracket; age; liquidity needs; risk tolerance; investment time horizon; experience with investing; investment objectives; and any other relevant information that the investor may choose to disclose pertinent to their situation. The SEC has stated that Reg BI is drawn from fiduciary principles that are common to both brokers and investment advisors including an obligation to act in the investor’s best interest and prohibiting an advisor from placing their own interests ahead of the investor’s. Reg BI comes with different core obligations that brokers must comply with. There is the duty of care obligation requiring financial advisors to form a reasonable belief that their investment advice and recommendations are in the retail investor’s best interest among other duties. In order to do that the broker must evaluate the potential risks, rewards, and costs associated with a product, account type, or series of transactions being recommended.
Next, the advisor must have a reasonable understanding of the specific retail investor’s investment profile. The customer’s profile information generally includes an investor’s financial situation and needs; investments; assets and debts; marital status; tax status; age; investment time horizon; liquidity needs; risk tolerance; investment experience; investment objectives and financial goals; and any other information the retail investor may disclose in connection with the recommendation or advice. Using the foregoing information, the associated person then must consider reasonably available investment option to accomplish the investor’s goals as well as alternative investment options that may be cheaper or other important qualities. Finally, the advisor must conclude that there is a reasonable basis to believe that the recommendation being provided is in the investor’s best interest. Brokerage firms and advisors must also understand the features and limitations of various account types as part of meeting Reg BI’s care obligations. Firms typically offer a variety of account options and services with different trading costs, services, such as account and activity monitoring. An advisor’s recommendation as to what type of securities account to open can alter the customers’ overall costs and investment returns. The advisor must determine that the client can benefit from the type of account being recommended to be opened and in the investor’s best interest taking into account the costs, benefits, and needs of the client.
Latta has been in the securities industry for more than 22 years. Latta has been registered as a Broker with LPL Financial LLC since 2015.
Investors who have suffered losses are encouraged to contact us at (800) 810-4262 for consultation. At Gana Weinstein LLP, our attorneys are experienced representing investors who have suffered securities losses due to the mishandling of their accounts. Claims may be brought in securities arbitration before FINRA. Our consultations are free of charge and the firm is only compensated if you recover.