David Michael Logsdon, Broker with Wells Fargo, Named in Customer Dispute Alleging Unsuitable Investment Recommendations

The customer is seeking $20,000 following allegations that the securities purchased were unsuitable. 

David Michael Logsdon (CRD: 4178266) is registered as a broker and investment advisor with Wells Fargo in Idaho, where he has been employed since May 2001.

Logsdon has six disclosures on his BrokerCheck report. One customer dispute filed against Logsdon was denied.

May 2020 Customer Dispute

• Status: Settled
• Allegations: Power of Attorney for client complained that the securities in the client’s account were not suitable. (9/8/2016-5/21/2020)
• Settlement Amount: $20,000.00
• Broker Comment: I made one recommendation to the client to reduce her risk in a portfolio set up from a previous advisor that I recently inherited. Volatile market conditions resulted in a loss in the position. The firm made a business decision to settle with the client and I did not participate in the settlement.

March 2018 Customer Dispute

• Status: Withdrawn
• Allegations: The client alleged all stocks in his portfolio should have been sold, but were not. (3/19/2018)
• Broker Comment: Although a request was received, there was an inadvertent oversight to liquidate the portfolio. When the trade error was realized the client was appropriately made whole without loss. The client also clarified the complaint was not intended toward David Logsdon.

April 2010 Regulatory Judgment 

• Initiated By: FINRA
• Allegations: NASD Rules 2110, 2510: Logsdon exercised discretion, in executing transactions, in customers’ accounts when he never obtained written authorization from the customers to exercise discretion in their accounts and his member firm did not accept those accounts as discretionary.
• Resolution: Acceptance, Waiver & Consent (AWC)
• Sanctions: Civil and Administrative Penalty(ies)/Fines(s) 
• Amount: $5,000.00
• Sanctions:  Suspension
• Registration Capacities Affected: All Capacities
• Duration: Five Business Days
• Start Date: 5/17/2010
• End Date: 5/21/2010
• Regulator Statement: Without admitting or denying the findings, Logsdon consented to the sanctions and to the entry of findings; therefore, he is fined $5,000 and suspended from association with any FINRA member firm in any capacity for five business days. The suspension is in effect from May 17, 2010, through May 21, 2010.
• Broker Comment: I obtained verbal client authorization to execute a short term dollar cost averaging strategy based upon pre approved asset allocation portfolio models for clients. The timing and dollar amounts were effected exactly as agreed and did not result in a client complaint. However, FINRA found that my failure to obtain written authorization for trades in three accounts for one of those families was the exercise of discretion in non-discretionary accounts. Without admitting or denying the findings, I consented to the  entry of findings. I have been fined $5,000 and suspended from any association with any FINRA member firm in any capacity for five business days. The suspension is in effect from May 17, 2010, through May 21, 2010.

February 2008 Customer Dispute

• Status: Settled
• Allegations: Failure to place stop losses on the portfolio resulting in significant monetary losses to the customer (July 200-January 2008). The firm has made a good faith determination that damages on this account exceed $5,000.
• Settlement Amount: $69,381.51

May 2005 Customer Dispute

• Status: Settled
• Allegations: Customer alleges that in November 2004, December 2004, and March 2005, the representative purchased unsuitable securities for their accounts.
• Damage Amount Requested: $30,041.76
• Settlement Amount: $900.00

Contact Us Today

The Sonn Law Group is currently investigating allegations surrounding David Michael Logsdon. We represent investors in claims against negligent brokers and brokerage firms. If you or your loved one experienced investment losses, we are here to help. For a free consultation, please call us now at 866-827-3202 or complete our contact form.