Moody & Warner, P.C. Announces Court Approval of $32 Million Settlement in National Gender Discrimination Suit Against Wachovia Securities, Now Known as Wells Fargo Advisors

ALBUQUERQUE, N.M., June 9, 2011 /PRNewswire/ -- Today the U.S. District Court for the District of Columbia approved a $32 million settlement of a national gender discrimination case against Wachovia Securities, now known as Wells Fargo Advisors.  Women financial advisors from New Mexico and Maryland brought the case, Carter, et al, v. Wells Fargo Advisors, LLC, et al, on behalf of a national class of women financial advisors.  The law firms Moody & Warner, P.C., Sprenger + Lang, PLLC, and Mehri & Skalet, PLLC, represented the class.  

The case alleges that Wells Fargo Advisors/Wachovia Securities discriminated against a class of about 3,000 female financial advisors throughout the United States due to their gender.  According to the complaint, the discrimination deprived women financial advisors of opportunities to develop business by, among other things, denying them a fair share of account distributions, fair treatment in investment partnerships and opportunities to purchase books of business from other financial advisors, and fair consideration in other mentoring and marketing opportunities.  The suit also alleges unfair compensation, including signing bonuses, and discrimination in promotion to higher positions such as branch manager.  Two of the class representatives, Evelyn Carter and Michelle Phillips, work or worked for the company in New Mexico; Eileen Wasserman, the other class representative, worked in Maryland.  The proposed settlement covers women financial advisors who worked for the company from March 17, 2003 to January 25, 2011.

Wells Fargo Advisors/Wachovia Securities has denied the allegations in the complaint.  In settling, it has agreed to make substantial internal changes to enhance the overall treatment and opportunities for women.  Changes agreed to in the settlement include fairer and more transparent processes for assignment of accounts, formation and dissolution of partnerships, and purchase of business from retiring brokers.  The settlement also provides for appointment of an outside Settlement Monitor and an Industrial Psychologist to evaluate data, review complaints, and make state-of- the-art, innovative proposals to further attract and retain women financial advisors at Wells Fargo Advisors/Wachovia Securities.  

"While far reaching, these changes will not solve problems for women in this male-dominated industry overnight.  Ultimately, they will help improve opportunities for women financial advisors at Wells Fargo Advisors.  We look forward to the continued progress of women at the Company," stated Christopher Moody, a partner of Moody & Warner, P.C.

In addition to the business changes, the Company will pay $32 million to compensate the members of the class who claim they suffered discrimination.  Class members who file claim forms will share in the monetary portion of the settlement based on their length of service, the evidence of gender discrimination they present and other factors.  "Women should not be hindered by obstacles to their success that do not exist for men," explains Whitney Warner, a partner of Moody & Warner, P.C.  "Money can never fully compensate these women for what they experienced, but with the business changes agreed to by the Company women now have a better chance to realize their full potential at the Company."

Established in 2003, Moody & Warner, P.C. provides legal representation in all types of labor litigation.  The firm has offices in Albuquerque, New Mexico, and Santa Monica, Calif., and handles complex employment cases throughout the country.  

For More Information, Contact:

Chris Moody, or Whitney Warner -- 505-944-0033;

[email protected]; [email protected]

SOURCE Moody & Warner, P.C.