Jaffe Tilchin Investment Partners, Llc

Allegations: VIOLATION OF FINRA RULE 2010; FAILURE TO EXECUTE A CUSTOMER TRADE ORDER. MY CLIENT IN ANCHORAGE, AK WAS A C LEVEL EXECUTIVE WITH A CONCENTRATED POSITION IN A SINGLE STOCK. WE DISCUSSED SELLING THE STOCK WHEN THE TIME APPEARED APPROPRIATE AND ONE EVENING AT 10PM (6PM THE CLIENTS TIME) I RECEIVED HIS REQUEST TO SELL ALL HIS SHARES AT THE OPEN AND RESPONDED SIMPLY "OKAY" BECAUSE I WAS TOO TIRED TO GET INTO ANY DETAIL. THE NEXT MORNING HIS STOCK OPENED $1.00 LOWER AND I DID NOT SELL THINKING THAT THE STOCK PRICE MIGHT RECOVER. I DID NOT CALL THE CLIENT, BECAUSE OF THE 4HOUR TIME DIFFERENCE IT WAS 5:30AM IN ALASKA. THE CLIENT INSTEAD CALLED ME AT 10:00AM AND INSTRUCTED ME TO SELL AT THE LOWER PRICE. BY THAT TIME THE STOCK WAS DOWN $2.00. THE CLIENT WAS REIMBURSED $25,000, MY SHARE WAS $7,500 AND ERRORS AND OMISSIONS INSURANCE PAID THE BALANCE. FINRA STATED THAT DESPITE THE FACT THAT MY INTENTIONS WERE ALIGNED WITH MY CLIENT BY TRYING TO GET A BETTER PRICE, THIS WAS NOT AN EXCUSE FOR FAILING TO EXECUTE MY CLIENTS ORDER AND THEY DECIDED TO SUSPEND ME FOR 10 DAYS AND FINE ME $5,000.00. Status: Final Sanction Detail: WITHOUT ADMITTING OR DENYING THE FINDINGS, HAPPLE CONSENTED TO THE SANCTIONS AND TO THE ENTRY OF FINDINGS THAT HE FAILED TO EXECUTE A CUSTOMER TRADE ORDER. THE FINDINGS STATED THAT HAPPLE'S CUSTOMER INSTRUCTED HIM TO SELL ALL SHARES OF A STOCK THE CUSTOMER HELD IN HIS ACCOUNT AT THE MARKET OPEN THE FOLLOWING DAY. THE NEXT DAY HAPPLE DECIDED NOT TO SELL THE CUSTOMER'S SHARES AT THE MARKET OPEN BECAUSE THE STOCK PRICE WAS RAPIDLY DECLINING AND HE THEREFORE WANTED TO DISCUSS THE DECISION TO SELL WITH THE CUSTOMER. LATER IN THE MORNING WHEN THE CUSTOMER LEARNED THAT HAPPLE HAD NOT SOLD HIS SHARES AT THE MARKET OPEN, HE INSTRUCTED HAPPLE TO IMMEDIATELY SELL HIS SHARES. IN THE PERIOD BETWEEN THE MARKET OPEN AND HAPPLE'S EXECUTION OF THE SELL ORDER AT THE THEN CURRENT MARKET PRICE, THE PRICE OF THE SHARES FELL SIGNIFICANTLY. CONSEQUENTLY, THE CUSTOMER RECEIVED APPROXIMATELY $28,000 LESS IN PROCEEDS FROM THE SALE OF HIS STOCK. THE CUSTOMER WAS SUBSEQUENTLY COMPENSATED FOR HIS LOSSES BY HAPPLE AND HIS MEMBER FIRM. Summary: WITHOUT ADMITTING OR DENYING THE FINDINGS, HAPPLE CONSENTED TO THE SANCTIONS AND TO THE ENTRY OF FINDINGS THAT HE FAILED TO EXECUTE A CUSTOMER TRADE ORDER. THE FINDINGS STATED THAT HAPPLE'S CUSTOMER INSTRUCTED HIM TO SELL ALL SHARES OF A STOCK THE CUSTOMER HELD IN HIS ACCOUNT AT THE MARKET OPEN THE FOLLOWING DAY. THE NEXT DAY HAPPLE DECIDED NOT TO SELL THE CUSTOMER'S SHARES AT THE MARKET OPEN BECAUSE THE STOCK PRICE WAS RAPIDLY DECLINING AND HE THEREFORE WANTED TO DISCUSS THE DECISION TO SELL WITH THE CUSTOMER. LATER IN THE MORNING WHEN THE CUSTOMER LEARNED THAT HAPPLE HAD NOT SOLD HIS SHARES AT THE MARKET OPEN, HE INSTRUCTED HAPPLE TO IMMEDIATELY SELL HIS SHARES. IN THE PERIOD BETWEEN THE MARKET OPEN AND HAPPLE'S EXECUTION OF THE SELL ORDER AT THE THEN CURRENT MARKET PRICE, THE PRICE OF THE SHARES FELL SIGNIFICANTLY. CONSEQUENTLY, THE CUSTOMER RECEIVED APPROXIMATELY $28,000 LESS IN PROCEEDS FROM THE SALE OF HIS STOCK. THE CUSTOMER WAS SUBSEQUENTLY COMPENSATED FOR HIS LOSSES BY HAPPLE AND HIS MEMBER FIRM.