I think we should look at this issue positively and learn something from it.
First of all, ALL TRADERS should take more time reading through Brokers Terms and Conditions before jumping in. I had interest in FXOpen so i took time to read their TCs and their rules governing/binding customer and broker. I found some issues uncomfortable like what happened to kovacs. I asked questions and they replied just exactly how they responded to Kovacs.
See sample of my disscusion with them: (Agreement terms on black, my questions on red their response on blue)
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<dl class="details"> <dt id="hdr-from" class="hdr-info">FROM:
Gleb Ivanov </dt><dt id="hdr-to" class="hdr-info">TO:
onyeobike@yahoo.com </dt></dl>
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Wednesday, June 13, 2012 1:27 PM
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Dear Sir,
Thank you for your enquiry and patience!
Hereby I disclose the answers from our legal department. I hope that we’ve fully satisfied your request and you will be ready to join our customers list.
Best Regards,
Gleb Ivanov
Sales and Marketing Manager
FXOpen NZ Limited
e-mail:
gleb.ivanov@fxopen.org
Skype: gleb.ivanov.w
Tel.: +7 499-346-09-60 (ext. 188)
http://www.fxopen.com/
From: onye buchi[mailto
nyeobike@yahoo.com]
Sent: 04 June 2012 18:16
Subject: Inquiry on Terms of Agreement (ECN Account)
Dear Sir,
I'm a prospective customer willing to open an ECN Account. Having studied your Terms of Agreements and other documents i have the following observations tbelow that requires clarification to enable me take the right decision. My observations/inquiries are on red
Your earnest reply would be highly appreciated.
Thank you.
Obike C. Onyebuchim
(Section of an answered question from FXOpen
CUSTOMER AGREEMENT
6. BUSTED TRADES
FXOpen shall have the right to annul and/or reverse any trades which are deemed untrue or opened at a fictitious price not existing on the market at the time of opening. (What do you mean by untrue or fictitious price. I suppose the price ought to come from your price feeds.)
While our ECN price-feed is determined by prices obtained from liquidity providers, technical issues and/or various market situations can lead to client orders being executed at prices, which do not actually correspond to those available in the platform’s liquidity pool. As one of possible examples, a liquidity provider could quote a price which later is deemed untrue market price by that liquidity provider and, as a result, the transaction gets cancelled by the liquidity provider or the liquidity provider changes the price at which the transaction is deemed executed.
I have attached the full questions and disscusions i had with them through their legal department as pertains issues like this.
I had intended to bring up the issues/discussion with fellow traders for better advise.
I think its high time the FPA innovate a solution to discuss and treat Broker Terms & Conditions on the forum.
If kovacs goes to court he might lose the case because he already signed an agreement with them, which protects FXopen from liabilities. However i'm of the view that he's original account should be restored and any incured expenses (fees) should be withdrawn, since it is the fault of their LP and they published reasons for price glitches.
Fellow traders please take time to read through brokers Terms and Conditions.
The FPA should read through the attached file and see reasons why this case might be hard for Kavocs.