CLAIMANTS ALLEGE UNSUITABILITY, BREACH OF FIDUCIARY DUTY, MISREPRESENTATION AND OMISSIONS OF MATERIAL FACTS, FRAUD, AND NEGLIGENCE REGARDING THE PURCHASES OF THE SECURITIES IN THEIR UBS ACCOUNTS.

$146,000.00

$80,000.00

ALL ALLEGATIONS ARE DENIED. PROPER PROTOCOLS WERE FOLLOWED. IN MARCH 2000 CLIENTS CONTACTED ME AND OPENED 2 ACCOUNTS. AT INITIAL MEETING, WE REVIEWED THEIR INVESTMENT PORTFOLIO AND DISCUSSED THEIR GOALS, OBJECTIVES AND RISK TOLERANCE. THEY CLAIMED TO HAVE OTHER DIVERSIFIED "CONSERVATIVE" INVESTMENTS, INCLUDING RETIREMENT ACCOUNTS AND REAL ESTATE. THEIR OBJECTIVE WAS TO GAIN EXPOSURE IN THE EQUITIES MARKET WITH AN EMPHASIS IN THE TECH AND TELECOM SECTORS. THE ASSOCIATED RISKS OF INVESTING IN THE STOCK MARKET WITH AN EMPHASIS IN LIMITED SECTORS WERE CLEARLY EXPLAINED AND UNDERSTOOD BY THE CLIENTS. THE NASDAQ PEAKED IN MARCH OF 2000 CLOSING AT 5048.62 FOLLOWED BY A LENGTHY DECLINE. AT MY SUGGESTION, THE ACCOUNTS WERE CLOSED IN DECEMBER 2001. IN 2003, CLIENT APPROACHED ME ABOUT RENEWING OUR RELATIONSHIP. I DECLINED TO DO SO. IN 2004, THE CLIENTS, REPRESENTED BY A PERSONAL INJURY ATTORNEY, FILED A COMPLAINT. THE CLIENT IS A RETIRED FIREFIGHTER. UBS OFFERED A SETTLEMENT RATHER THAN PURSUE THE MATTER IN COURT. IN 30+ YEARS OF BUSINESS, THIS IS MY ONLY COMPLAINT.