Arbitration Agreement Holds in Mississippi Supreme Court Despite Typographical Error

Bettye Turner opened a securities brokerage account with David Carrick when he was employed with Morgan Stanley Smith Barney. When Carrick moved to Stern, Agee & Leach, Inc. in 2009, Turner signed an Account Application to transfer her funds to a Stern Agee account. When Turner and her daughters, who had durable power of attorney, filed suit alleging negligent management and supervision of the account, Carrick and Stifel Financial, his new employer, enacted the arbitration agreement which was part of the Account Application. The Account Application references a Client Account Agreement. Some confusion exists about which copy of the Client Account Agreement Turner received. The trial court found the two documents ambiguous in relation to the arbitration agreement. The Supreme Court of Mississippi found no such ambiguity and reversed the trial court’s judgment. Keep reading to find out why.