Ameriprise Responds to LPL’s Defamation Claim, Says Statements Are ‘Substantially True’

In the latest in the ongoing battle between LPL Financial, the nation’s largest independent broker-dealer, and rival broker-dealer Ameriprise Financial, Ameriprise has responded to LPL’s recent defamation lawsuit.

As previously reported by AltsWire, LPL has alleged defamation and tortious interference following a controversial set of “data breach” notices sent to clients who had transitioned from Ameriprise to LPL. Additionally, LPL has sought a temporary restraining order in an attempt to prevent Ameriprise from making further “defamatory” statements.

In response, Ameriprise has filed a motion of opposition, seeking to deny LPL’s temporary restraining order request. According to third-party reporting, Ameriprise claims that it was obligated to send a letter regarding the potential data breach and furthermore, the data breach notice is not defamatory because the information contained in the notice is substantially true.

“LPL is now seeking to shift the narrative away from its own misconduct because it doesn’t like that its advisers are receiving calls from clients who are worried their personal information is at risk,” an Ameriprise spokesperson reportedly stated.

LPL has argued that it believes the notice is defamatory because it falsely implies that its clients face a risk of identity theft caused by their own financial advisers.

The dispute stems from recruiting tactics and the use of client data. LPL has stated that 30 financial advisers joined the firm from Ameriprise between 2018 and 2021, with Ameriprise reportedly taking the position that advisers could not retain client information when transitioning to a new firm. LPL disagreed, and Ameriprise filed a court complaint in July of 2024.

For its part, Ameriprise has stated that it has no further plans to discuss the data breach with clients, other than any inbound requests it may receive.

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