JPMorgan Sues Ex-Advisor Over Client Transfers to LPL

JPMorgan filed a lawsuit on Wednesday in federal court in Chicago and asked for a temporary restraining order against former private client advisor Alan Feutz. The bank alleges Feutz moved clients he met through JPMorgan branches to Genesis Wealth, an affiliate of LPL Financial, in breach of a one-year nonsolicitation agreement.

JPMorgan’s complaint says Feutz left the firm last month. JPMorgan counts $692 million in client assets tied to his practice across 351 households; a departure announcement from Feutz put the figure at $725 million. The suit alleges he has already transferred about $146 million and 23 households to LPL and recruited another advisor, Adrian Little, to resign and join Genesis Wealth.

JPMorgan asked the court to bar Feutz from contacting former clients while the bank pursues arbitration through the Financial Industry Regulatory Authority. The complaint contends Feutz built his book mainly through referrals from the bank’s branch network rather than by developing clients independently.

According to the filing, Feutz worked at branch desks where he was introduced to existing bank customers. JPMorgan says the firm invested millions of dollars over many years to acquire and develop those client relationships and that Feutz retained client phone numbers and other contact information after leaving, failing to keep the data confidential.

Feutz joined JPMorgan in 2005 after stints at Northern Trust Securities, American Express Financial Advisors and Dean Witter. Adrian Little began at JPMorgan in 2009 and is listed on Genesis Wealth’s website as a registered client service associate. Genesis Wealth was founded in 2024 as part of Professional Wealth Advisors, operates as a branch of LPL and reports overseeing more than $3 billion in client assets.

JPMorgan has filed similar suits this year against former private client advisors who left for other firms, including departures to Wells Fargo, Morgan Stanley, UBS and other LPL affiliates. Several of those disputes have been settled or resolved with court-ordered restraints while transitions proceeded.

Many recruiting arrangements in wealth management fall under the voluntary Broker Protocol, which generally allows departing advisors to take client names and contact details. JPMorgan says the protocol does not apply to its private client advisors because their relationships are rooted in bank referrals and has taken that position in prior cases.

In a statement, Jim Garvey of Vedder Price described the allegations as unfounded and asserted Feutz will defend himself vigorously before a FINRA arbitration panel. JPMorgan and LPL Financial did not provide comments in response to requests.

Jason Diamond, president of recruiting firm Diamond Consultants, noted that disputes often hinge on how client relationships originated and that legal actions do not always stop advisors from moving; many cases settle before arbitration and transitions can proceed under negotiated terms.