A Florida couple suing the CFP Board of Standards Inc. is demanding the Board turn over documents ordered by a federal district court so the lawsuit can proceed.
Jeffrey and Kimberly Camarda have filed a motion asking the court to compel the Board to turn over documents and testimony in their legal challenge against the Board, according to the motion filed Friday in Federal District Court in Washington, D.C. The couple filed the lawsuit after the Board took disciplinary action against them for using the term "fee only" to describe their business.
The Board earlier had tried to stop the Camardas' request for discovery, but the court ruled against it and said the case should proceed. The court did not set a deadline for the Board to turn over the requested documents.
But in an exchange of e-mails between the two attorneys that were filed as part of the most recent motion, the Board said on Feb. 4 it would need about a month to comply. The Camardas asked for documents to be turned over by March 15, but have received no answer.
The Board had contended in its attempt to deny the discovery requests that the Camardas were asking for irrelevant information, but the court ruled against it. A spokesman for the Camardas said he did not know how long it would take the court to rule on the latest motion.
A Board spokesman has said the board is vigorously defending the suit.
The dispute stems from disciplinary action the Board took in 2012 against the Camardas for allegedly misusing the term “fee only” on their Web site and marketing materials. The Camardas own Camarda Wealth Advisory Group in Fleming Island, Fla. But they also own an insurance company that receives commissions and the board said that disqualified them from using the term “fee only” for their financial planning firm.
The Camardas claim the two companies are not connected. They also say they offered various measures to compromise with the Board, but were unable to reach an agreement. The two parties have been going back and forth in court since then. The deposition phase of the suit cannot take place until the discovery dispute is resolved.
The controversy grew beyond the Camardas when the Board took disciplinary action against other advisors including Alan Goldfarb, former CFP board chairman, for misusing the designation “fee only.” Goldfarb subsequently resigned as chairman because of the Board’s action against him.