JPMorgan filed suit in Florida federal court this week, alleging its former private client advisor breached a one-year non-solicitation covenant after joining Morgan Stanley on May 1. The bank claims he moved 90 households with $161 million in assets from his prior 244-household book worth $229 million.
JPMorgan sued former private client advisor Brian Krauthamer in federal court in Florida this week, seeking a temporary restraining order to enforce a one-year non-solicitation covenant after his May 1 move to Morgan Stanley.
Krauthamer’s employment agreement included restrictive covenants barring client solicitation for 12 months and mandating confidentiality of client contact data.
The bank alleges Krauthamer called former clients on personal cell phones to promote Morgan Stanley’s offerings and secured at least four client complaints of “pushy” solicitations.
JPMorgan claims about 90 households with roughly $161 million in assets transferred to Morgan Stanley, down from his 244-household book valued at $229 million at resignation.
Barrons
