Dist. Ct. did not err in granting defendants’ counterclaim alleging that plaintiff-broker improperly converted funds contained in defendants’ commodities futures and options trading account to cover losses in defendants' second trading account held by plaintiff, where said losses in second account were incurred after broker ignored defendants’ directives to close second account, and where plaintiff claimed that guarantee made by defendants in first account applied to losses made in second account. Dist. Ct. could properly find that guarantee made in first account did not apply under Illinois law to losses made in second account, in which no explicit guarantee was made, where second account was not in same kind of business relationship as first account, and where second account did not present same types of risks to defendants once unauthorized trades were made. However,
Federal 7th Circuit Court
Civil Court
Securities