STACEY MYERS GARRETT


Stacey Myers Garrett

Stacey joined KYL in 1991 and is a shareholder in its Long Beach office. Stacey’s practice focuses on representing and advising securities broker-dealers and banks.  She has successfully represented financial institutions in jury trials, bench trials, class actions, regulatory proceedings and hundreds of arbitrations.

Stacey has tried or arbitrated to conclusion more than 50 cases (including jury trials and bench trials).  She regularly appears in state and federal courts and in securities arbitrations before the Financial Industry Regulatory Authority (FINRA).  Stacey has tried cases involving allegations of fraud, breach of fiduciary duty, churning, unsuitability, negligence, negligent supervision, and violations of state and federal law.  She also has advised and defended firms and registered representatives in regulatory inquiries initiated by FINRA, the New York Stock Exchange and the California Department of Corporations.  Her work includes defending individual claims and class actions, and she was part of a team that tried a 250-member class action to a jury verdict.

Stacey’s practice also includes privacy law and advising clients on data security.  Stacey is certified by the International Association of Privacy Professionals in United States private sector privacy law (CIPP/US) and European Union privacy and data protection law (CIPP/E).  She also is a Certified Information Privacy Manager (CIPM) and Certified Information Privacy Technologist (CIPT).  Her work includes defending clients accused of various privacy laws, assessing clients’ legal and regulatory compliance with applicable privacy laws, including the Gramm-Leach-Bliley Act and Regulation S-P, the Stored Communications Act, the California Consumer Privacy Act, and the European Union’s General Data Protection Regulation (GDPR).

Education

  • J.D., University of California, Hastings College of the Law (1991 – magna cum laude).  While in law school, Stacey was a member of the Hastings Law Journal and was elected to the Order of the Coif.
  • B.S. (journalism), California Polytechnic State University, San Luis Obispo (1987 – summa cum laude).

Certifications

  • CIPP/US (Certified Information Privacy Professional, U.S. – private sector)
  • CIPP/E (Certified Information Privacy Professional, Europe)
  • CIPM (Certified Information Privacy Manager)
  • CIPT (Certified Information Privacy Technologist)

Bar Memberships/Admissions

  • California (1991)
  • Nevada (1993)
  • All United States District Courts in California
  • All United States District Courts in Nevada
  • United States Court of Appeals for the Ninth Circuit
  • Supreme Court of the United States

 

Trial Results

Examples of cases in which Stacey was lead counsel or played a significant role include:

  • Defeated $493 million claim against national securities broker-dealer in a 37-day securities arbitration; in addition, Citigroup recovered $2 million from claimants. The result was reported by the Daily Journal’s “Verdicts & Settlement” column and labeled a “Top Verdict,” and also was reported by the Securities Arbitration Commentator and Arb Reporter.  Copies of those articles can be accessed here:  [links to .pdfs]  Kosti & Marian Shirvanian, individually and as Trustees of the Kosti Shirvanian and Marian Shirvanian Living Trust v. Citigroup Global Markets Inc. (f/k/a Salomon Smith Barney), AAA Case No. 72-168-Y-00004-04 NOLG (10/27/2017).
  • Successfully obtained defense judgment on behalf of a community bank on $22 million claim after 29-day bench trial.  Also obtained judgment in favor of the bank on its $650,000 counterclaim.  Corona Fruits & Veggies, Inc. v. Heritage Oaks Bank, Superior Court of California, County of Santa Barbara Case No. 1290870 (11/26/2014 and 1/20/2015).
  • Successfully obtained order dismissing $12 million claim against national securities broker-dealer because claim was ineligible for arbitration under FINRA Rule 12206(a) (six-year rule). The arbitrators also recommended that the complaint be expunged from the registered representatives’ record.
  • Obtained order dismissing $1 million claim against national bank where borrowers claimed that the bank failed to properly approve and fund construction costs relating to their construction loan.
  • In a jury trial, successfully represented national bank on its counterclaim in a wrongful foreclosure and fraud case, and obtained order awarding bank its attorneys’ fees and costs.
  • Successfully defended a national securities broker-dealer in a $1.5 million FINRA arbitration initiated by an elderly investor alleging that the financial consultant failed to properly manage his fee-based, discretionary equities account. The arbitrators also recommended that the complaint be expunged from the registered representatives’ record.
  • Obtained order dismissing $3.8 million claim against national securities broker-dealer and ordering claimant to pay $1 million in sanctions to the respondents.  The arbitrators also recommended that the complaint be expunged from the registered representative’s record.
  • Was a member of the defense team that defended a national securities broker-dealer in a 250-member class action culminating in a six-week jury trial.

Reported Decisions

  • Dunne v. JPMorgan Chase Bank, N.A., 2014 U.S. Dist. LEXIS 146969 (C.D. Cal., 2014)
  • Tuminello v. Richards, 504 F. App’x 557 (9th Cir. 2013)
  • NAACP v. Ameriquest Mortg. Co., 635 F. Supp. 2d 1096 (C.D. Cal., 2009)
  • Omni Home Fin., Inc. v. Hartford Life & Annuity Ins. Co., 2008 U.S. Dist. LEXIS 35259 (S.D. Cal., 2008)
  • Citigroup, Inc. v. Pac. Inv. Mgmt. Co. (In re Enron Corp.), 296 B.R. 505 (Bankr., C.D. Cal. 2003)
  • Fehrman v. Loomis Armored, Inc., 44 F. App’x 270 (9th Cir. 2002)
  • Burns v. Prudential Sec., 218 F. Supp. 2d 911 (N.D. Ohio, 2002)
  • Burns v. Prudential Sec., 145 Ohio App. 3d 424 (2001)
  • Burns v. Prudential Sec., 116 F. Supp. 2d 917 (N.D. Ohio, 2000)
  • Adams v. Anderson (In re Superior Stamp & Coin Co.), 223 F.3d 1004 (9th Cir. 2000) (holding that earmarking doctrine provided defense to debtor’s preference action and did not allow debtor to avoid portion of payments funded by bank loans specifically made for purpose of paying specific creditor)
  • In re: Sintek v. Prudential Ins. Co. of America, 1998 U.S. App. LEXIS 29039 (9th Cir. 1998)
  • In re Weisberg v. Shearson Lehman Bros., Inc., 136 F.3d 665 (9th Cir. 1998) (holding that securities broker’s post-petition sale of securities to meet margin calls did not violate the automatic stay and margin payments could not be recovered by trustee)
  • Clark v. Prudential Secs., 44 Cal. App. 4th 1498 (1995)

Articles

  • SEC: Victims of Cyber Scams May Also Face Enforcement Actions (linked here) (October 30, 2018)
  • Data Privacy Law: Challenges and Practical Solutions for Businesses in 2018 (October 18, 2018), Lawdragon
  • Strengthening Trust and Market Share with Strong Privacy and Data Security Practices (July 2018), Western Independent Bankers magazine
  • California Lawmakers Approve Groundbreaking Privacy Law (linked here) (June 28, 2018) (client alert, KYL website)
  • Comment letter to Securities and Exchange Commission re: “Regulation Best Interest” (June 12, 2018)
  • Comment letter to FINRA re: Regulatory Notice 18-13 and proposed amendment to FINRA Rule 2111 and Regulation Best Interest (June 11, 2018)
  • GDPR is Here:  Why U.S. Companies Should Care and Five Tips Toward GDPR Compliance (linked here) (May 25, 2018) (client alert, KYL website)
  • Are U.S. Records Retention Requirements on a Collision Course with the GDPR’s “Right to Erasure?” (linked here) (May 2018), Cybersecurity Law & Strategy; Law.Com
  • Privacy and Data Protection Claims in Arbitration (linked here) (March 26, 2018) (client alert, KYL website)
  • Comment letter to FINRA regarding Regulatory Notice 17-42 (proposed changes to expungement procedures) (February 1, 2018)

Speaking Engagements

  • “Data Privacy Law:  Challenges and Practical Solutions for California Businesses in 2018” (July 25, 2018) (speaking engagement, Continuing Legal Education seminar)
  • “Adding Value in 2018:  Privacy and Data Security in the Financial Services Industry” (May 31, 2018) (speaking engagement, Western Independent Bankers Women in Banking Forum)
  • AV® Preeminent™ peer review rating from Martindale-Hubbell (highest level of professional excellence) (2010–2019)
  • “Best Attorney” (California), Best Attorneys of America (2018) – (Lifetime Charter Member)
  • Top Women Attorneys in Southern California (Los Angeles Magazine) (2012–2016 and 2018)
  • Top Attorneys in Southern California (Los Angeles Magazine) (2008–2014, 2016 and 2018)
  • America’s Most Honored Professionals (Top 1%) (2014–2018)
  • Southern California “Super Lawyer” (Los Angeles Magazine) (2005–2019) (designation limited to 5% of attorneys practicing in California)
  • Recognized by Los Angeles Magazine as one of the “Top Attorneys in Southern California” (Securities Litigation) (2012)
  • Southern California “Rising Star” (Los Angeles Magazine) (2004)