Gordon v. Lewis, 81 A.3d 491

Kathy Gordon acted as the Lewises’ financial/investment advisor; the Lewises (unsophisticated investors) invested $250,000 in Pomfret Plantation notes that were unsecured and later bankrupt.
The Lewises sued Gordon and related entities asserting fraud, fraudulent concealment (failure to disclose), negligent misrepresentation, negligence, and sought compensatory and punitive damages.
The dispute was compelled to FINRA arbitration; the panel awarded $250,000 compensatory and $25,000 punitive damages, finding Gordon’s actions "willful and wanton" for withholding information.
Gordon moved to vacate the punitive portion in state court arguing the panel exceeded its powers because mere withholding (constructive fraud) cannot support punitive damages absent clear-and-convincing proof of actual malice; she did not submit an arbitration transcript or seek clarification from the panel.
The Circuit Court for Worcester County denied vacatur and confirmed the award; this appeal challenged confirmation of the punitive damages award.

Issue	Plaintiff's Argument	Defendant's Argument	Held
Whether the FINRA panel exceeded its powers by awarding punitive damages based on a finding that Gordon "withheld information"	Punitive damages appropriate because concealment where there is a duty to disclose is a form of fraud and can support punitive damages.	Withholding/constructive fraud cannot support punitive damages absent clear-and-convincing proof of an asserted known, material falsehood; the award is in manifest disregard of law and ambiguous as to basis.	Court affirmed: arbitrators did not exceed powers; concealment can constitute fraud and support punitive damages; award need not explain full reasoning.
Whether the trial court erred in confirming the arbitration award without an arbitration transcript or clarification from the panel	N/A (respondents sought confirmation)	Lack of transcript and ambiguity in the award preclude confirmation of punitive damages.	Court affirmed: reviewing courts give extreme deference, petitioner bore burden to show excess of power, and failure to seek panel clarification or supply transcript foreclosed vacatur.

Downey v. Sharp, 428 Md. 249 (deference to arbitrators; legal error alone not vacatur)
Birkey Design Group, Inc. v. Egle Nursing Home, Inc., 113 Md. App. 261 (arbitrator need not explain award; limited judicial review)
Hoffman v. Stamper, 385 Md. 1 (fraud and recoverable noneconomic damages)
Green v. H & R Block, Inc., 355 Md. 488 (elements of fraudulent concealment/duty to disclose)
Ellerin v. Fairfax Savings, F.S.B., 337 Md. 216 (punitive damages may be awarded for fraudulent actions)
Mech v. Hearst Corp., 64 Md. App. 422 ("willful and wanton" describes conduct with actual malice)