Have you been advised by your Patrick Capital Markets broker or investment advisor to invest in syndicated conservation easements? Erez Law is investigating brokers and investment advisors nationwide who have recommended that their clients invest in syndicated conservation easement transactions. 

The IRS has identified these transactions as part of the ‘dirty dozen’ of top tax schemes and ‘listed transactions,’ which are considered abusive tax transactions. Since November 2019, the IRS has increased enforcement actions for syndicated conservation easement transactions. The potential financial losses from these investments are significant, with investors typically acquiring an interest in a land-owning partnership and then claiming an inflated charitable contribution deduction based on a grossly overvalued appraisal.

At Erez Law, we are actively investigating whether brokers and investment advisors at Patrick Capital Markets have withheld key facts and failed to conduct adequate due diligence on syndicated conservation easement offerings before recommending them to retail investors. Our thorough due diligence, which involves conducting meaningful, independent research on material aspects of the offering, identifying red flags with the offering or the issuer, and addressing and resolving concerns relevant to a potential investor, is a key part of our investigation process. 

Regrettably, some investors, brokerage firms, and investment advisors reviewed relevant offering documentation. Still, they did not adequately disclose the material aspects of the offerings or investigate red flags, including the significant risk of the IRS disallowing tax deductions and concerns regarding land appraisals.

At Erez Law, we have built our reputation on our specialization in recovering investment losses. Our considerable legal resources and experience handling cases involving reckless and unethical brokers who recommended private placements such as conservation easements have led to numerous successful FINRA arbitration cases against large, small, and mid-sized brokerage firms like Patrick Capital Markets. We hold these firms accountable for their dishonest investment advisory practices, unsuitable recommendations, misrepresentation, and over-concentration in investments and strategies. Our successful track record should instill confidence in potential clients. Investors have retained Erez Law to recover losses caused by investment advisors that recommended syndicated conservation easements as a tax mitigation strategy.

Erez Law Investigates Patrick Capital Markets Brokers Who Recommended Syndicated Conservation Easements

Erez Law is investigating the Patrick Capital Markets brokers who recommended the following syndicated conservation easements and high-risk private placements: 

• Bear Creek Investment Holdings, LLC
• Bear Mountain Partners, LLC
• Birch Terrace Partners, LLC
• Camden Cove Partners, LLC
• Cedar Grove Investments, LLC
• Charolais Solar Investments, LLC
• Hollow Oak Partners, LLC
• Jake Hollow Investment Fund, LLC
• Liberty Grove Partners, LLC
• Magnolia Heights Partners, LLC
• Massey Creek Partners, LLC
• Mill Creek Investors, LLC
• Patrick Capital Markets
• Red Angus Solar Investors, LLC
• River Birch Investments, LLC
• Salem Bend Partners, LLC
• Wayside Hill Partners, LLC
• Wood Duck Energy Opportunity Fund, LLC

The IRS is auditing hundreds of conservation easements and assuming the deductions claimed are invalid. Investors may be responsible for taxes due, penalties up to 40%, and interest. However, these losses may be recoverable in an action against the brokerage firm or advisor that recommended the conservation easements.

If you invested in conservation easements on the advice of your broker or investment advisor and took a charitable contribution deduction, which the IRS is now disallowing. In that case, you can recover your losses. 

Patrick Capital Markets Syndicated Conservation Easement Loss Options

Investors in the United States have filed FINRA arbitration claims or AAA arbitration claims against brokers and investment advisors across the country for investments made in syndicated conservation easements on the advice of their brokers or advisors. Patrick Capital Markets brokers did not adequately warn investors about the high-risk nature of the investments and have suffered damages. Investors may have a claim against the brokerage firm or advisory firm based on misrepresentation, unsuitability, breach of fiduciary duty, and state and federal securities laws.

A broker/investment advisor must have reasonable grounds for each recommendation made to investors, considering such factors as the customer’s other securities holdings, financial situation, and risk tolerance. In addition, before a financial advisor recommends security, the financial advisor must conduct due diligence, investigating the security’s facts to confirm that it is suitable for the customer. The suitability of an investment for a particular individual is at the center of the investment process and one of the key duties owed by a broker to the customer. A firm may be liable for its broker/advisor’s failure to recommend suitable investments to its customers.

Erez Law represents investors in the United States for claims against brokers, brokerage firms, investment advisors, and RIAs for wrongdoing. If you have experienced investment losses, please call us at 888-840-1571 or complete our contact form for a free consultation. Erez Law is a nationally recognized law firm representing individuals, trusts, corporations, and institutions in claims against brokerage firms, investment advisors, RIAs, banks, and insurance companies on a contingency fee basis.