The Financial Intermediary's Liability in Investments

Entrusting your investments to a bank or an online trading platform establishes a relationship of trust governed by specific regulations. When this relationship is compromised by technical errors, negligence, or omissions, the economic consequences for the investor can be substantial. We deeply understand the frustration and sense of helplessness experienced when seeing one's capital eroded not by market trends, but by a service failure from those who should have protected order execution. As an expert lawyer for damages compensation in Milan, Avv. Marco Bianucci deals daily with analyzing the conduct of financial intermediaries to protect savers.

Italian legislation, particularly the Consolidated Financial Act (TUF) and Consob regulations, imposes strict obligations of diligence, fairness, and transparency on intermediaries. The intermediary must execute orders under the best possible conditions for the client (best execution) and in a timely manner. Failure to execute a sale order (stop loss not triggered or order revoked without reason) or incorrect execution of a purchase order constitutes a breach of contract. If such a breach causes direct financial loss, the right to compensation for damages exists.

The Bianucci Law Firm's Approach to Banking Litigation

Confronting a banking institution or an intermediation company requires a solid and documented legal strategy. The approach of Avv. Marco Bianucci, a lawyer expert in banking law and damages compensation in Milan, begins with a rigorous analysis of contractual documentation and transaction logs. We do not merely contest the error; we reconstruct the causal link between the intermediary's conduct and the financial loss suffered by the client.

Our work focuses on the precise quantification of economic prejudice. This includes both direct damages, i.e., the outright loss incurred due to the error (for example, a security sold at a lower price than the order placed), and lost profits, i.e., the potential earnings the investor would have made if the order had been executed correctly. At our office at via Alberto da Giussano 26, we evaluate every single aspect of the situation, verifying whether the intermediary acted with the professional diligence required by the nature of the assignment, assisting the client in the complaint and mediation phase (often mandatory or recommended, such as recourse to the ACF - Arbitrator for Financial Disputes) as well as in any subsequent judicial proceedings.

Frequently Asked Questions

What happens if the bank does not execute my sell order?

If the bank fails to execute a correctly placed sell order and this causes a loss (e.g., the security subsequently drops in value), the intermediary may be held liable for breach of contract. It is necessary to prove that the order was placed according to the prescribed procedures and to quantify the difference between the ordered sale price and the actual or current price.

Can I claim damages if the trading platform freezes?

Yes, technical service disruptions on online trading platforms do not automatically exempt the intermediary from liability. If the system freeze prevents closing a losing position or opening a profitable one, and if this freeze is attributable to negligence in system maintenance, it is possible to seek compensation. A lawyer expert in damages compensation can evaluate the liability exclusion clauses often present in contracts, which are not always valid if the service disruption is severe.

How long do I have to dispute a trading error with the bank?

The time limits for dispute are strict and depend on the nature of the transaction, but in general, it is essential to send a written complaint immediately after discovering the error. For actual legal action, the ordinary ten-year statute of limitations for contractual liability applies, but acting promptly is crucial for preserving evidence.

How is compensation calculated for a mistaken stock market order?

Compensation aims to restore the investor's assets to the position they would have been in had the order been executed correctly. It is usually calculated by taking the difference between the economic result achieved and what would have been achieved with the correct execution of the order (counterfactual criterion).

Request an Evaluation of Your Case

If you believe you have suffered economic damage due to the non-execution or incorrect management of a stock market order, do not let time pass and compromise your rights. Avv. Marco Bianucci is at your disposal to examine the details of your situation and assess the prerequisites for a compensation claim. Contact the firm to schedule an appointment at our Milan office.