Texas Judge Bars Focus Financial Data Access in $1.09 Million Fee Dispute
Updated
Updated · Wealth Management · Aug 10
Texas Judge Bars Focus Financial Data Access in $1.09 Million Fee Dispute
2 articles · Updated · Wealth Management · Aug 10
Summary
A Texas district judge granted a two-week temporary restraining order blocking Focus Financial from accessing CFO4Life founders’ personal and outside-business data through IT vendor PCS International.
The order follows claims that Focus withheld more than $1.09 million in management fees starting last November and then sought tax returns, bank statements, canceled checks and other records beyond its contract rights.
Levi McMillien and Brian Chastain said Focus escalated after failed mediation, issuing a litigation-hold notice to employees, threatening a bookkeeping worker and arriving with multiple lawyers and a forensic firm on July 28.
The founders argued unrestricted access could expose commingled personal records, privileged communications and confidential client information, risking client losses at the Coppell, Texas-based RIA.
CFO4Life joined Focus in 2017 as its first Texas partner firm; a hearing on whether to convert the TRO into a permanent injunction is set for Aug. 20.