Barnett Securities, Inc. v. Faerber

ALTENBERND, Judge.

The defendants, Barnett Securities, Inc. (Barnett Securities); Barnett Banks, Inc. (Barnett); Barnett Bank of Jacksonville (Barnett-Jacksonville); Barnett Bank of Naples (Barnett-Naples); and William Gibbs, Jr., appeal an order compelling them to arbitrate the claims of Mr. and Mrs. Faerber. We reverse.

In January 1985, the Faerbers invested $1,200,000 in Washington Public Power Supply bonds. The bonds provided substantial tax-free income at favorable interest rates. In 1992, the bonds were called. Thereafter, the Faerbers filed a claim for arbitration with the National…