The parents of a young man who committed suicide last year have filed a lawsuit against the Robinhood media program over his death.
The lawsuit, first reported by CBS News , is about Alex Kearns, , had misunderstood that he owed 700. million ISK, when he died.
According to a news item BBC his parents, Dan and Dorothy Kearns, that their son did not receive assistance from Robinhood’s customer service before he died.
A statement from Robinhood that the BBC received from the company said that it was destroyed due to Alex’s death and that improvements had been made.
The app, which allows anyone to who is buying and trading shares, says on his website that it is a task to democratize finances and now there is an advertising campaign under the slogan: We are all investors.
Robinhood recently made the news for restricting the sale of shares in the US video game store Gamestop.
In an interview with CBS, Alex Kearns’ parents say that he started using the script shortly before he finished high school. They did not know that the program had given their sons permission to buy and sell futures contracts, but such transactions are complex and risky. It does not matter that he had no experience of financial transactions like this.
They say that their son has . June last year realized that Robinhood had placed restrictions on his account as it appeared that he owed over 170 a thousand dollars in the account.
CBS reports that the student received an email at : at night that he had to take prompt action and pay over 170 a thousand dollars within a few days.
The family says that Alex has repeatedly sent Robinhood’s help desk emails asking for help and support in understanding the numbers on his account. What he got back was an automatic response that he would be contacted later. No one called, sent e-mails or actually answered his questions, says the family’s lawyer.
According to the police, their son later died the same day, 12. June. He thought he had ruined his life and that it would never be remedied, says his mother. All he needed was a little help.
The next day, an e-mail was received from Robinhood stating that the restrictions had been lifted as the losses had been corrected by other forward contracts in his account.
The family accuses Robinhood of misleading information that led to despair. This is dishonest business practice and negligence.