KJM Financial LLC, a New Jersey company operated by Paul S. Beers, is the subject of at least three active lawsuits as of mid-2026. Two of them, filed by former clients in federal and state court in New Jersey, allege that Beers used college planning consultations to steer families into questionable annuity-style products sold through KJM Financial. A third, filed in New York, accuses the company of defaulting on a business financing agreement. No court has found Beers or KJM Financial liable, and no criminal charges or regulatory actions appear in the public record.
Who Paul Beers and KJM Financial Are
Paul Scott Beers has worked in financial services since the late 1980s. His FINRA BrokerCheck report (CRD# 1928992) shows he passed the Series 6 and Series 63 exams in 1989 and held securities registrations with a succession of broker-dealers through December 2020, when his registration with Lifemark Securities Corp. ended.1FINRA. BrokerCheck Report for Paul Scott Beers (CRD# 1928992) He is no longer a registered securities broker.
Since December 1998, Beers has separately operated as an independent insurance agent selling life insurance and annuities. His BrokerCheck filing describes KJM Financial as a business through which he provides “college planning activities,” including help with school selection and financial aid forms.1FINRA. BrokerCheck Report for Paul Scott Beers (CRD# 1928992) His business address is listed at 17 Mendham Road in Gladstone, New Jersey.2Experience.com. Paul Scott Beers – Insurance Broker
Those two disclosed roles, college planner and annuity salesperson, sit at the heart of the client lawsuits.
Dickson v. Beers: The Most Detailed Client Allegations
The clearest picture of what the client plaintiffs allege comes from Dickson Michele v. Beers Paul, Case No. SOM-L-000277-26, filed on February 27, 2026, in the Superior Court of New Jersey, Law Division, Somerset County.3Trellis Law. Complaint With Jury Demand for SOM-L-000277-26 Michele and Christian Dickson, represented by Raymond A. Grimes of Raymond A. Grimes PC, sued Beers, KJM Financial, and unnamed John Doe and corporate defendants.
According to the complaint, the Dicksons met with Beers in November 2023 in connection with college planning and student counseling services. Beers then allegedly suggested they establish a “non-qualified guaranteed income contract/annuity” with KJM Financial, which he characterized as a tax shelter. The complaint alleges KJM Financial was used by Beers “to defraud unwitting clients.”3Trellis Law. Complaint With Jury Demand for SOM-L-000277-26
The complaint includes a jury demand. The case is active before Judge John E. Bruder, and no dollar amount of damages appears in the available records.
Gorman v. KJM Financial: The Federal Case
The federal case, Gorman et al v. KJM Financial LLC et al, Case No. 3:25-cv-19098, was filed on December 31, 2025, in the U.S. District Court for the District of New Jersey.4PACER Monitor. Gorman et al v. KJM Financial LLC et al Thomas M. Gorman and Michele L. Gorman, represented by Darius Adam Marzec of the Marzec Law Firm, sued Beers and KJM Financial. The case is classified as a contract dispute under diversity jurisdiction and includes a jury demand.5PACER Monitor. Gorman et al v. KJM Financial LLC et al – Complaint
The specific factual allegations in the Gorman complaint are not publicly available in the extracted court records. The nature-of-suit designation (“Contract – Other Contract”) and the diversity basis indicate a contract claim between parties from different states.
KJM Financial was served on January 14, 2026, and Beers on January 29, 2026. The case is assigned to Judge Georgette Castner, with Magistrate Judge Tonianne J. Bongiovanni handling referral matters. In late April 2026, the Gormans sought a temporary restraining order and preliminary injunction. On April 30, 2026, Judge Castner ordered the parties to meet and confer on an expedited briefing schedule by May 6, indicating the court would set its own schedule and hold a hearing if the parties could not agree.4PACER Monitor. Gorman et al v. KJM Financial LLC et al
Several filings have been sealed or redacted. On May 1, 2026, the magistrate ordered a declaration removed from the docket because it contained improperly redacted sensitive information, and a corrected version was filed. A separate motion to seal certain exhibits was pending as of early May 2026. The emergency injunctive request remained pending at that time.
Rocket Capital NY LLC v. KJM Financial: A Business Financing Default
The third active case is different in nature. Rocket Capital NY LLC v. KJM Financial, L.L.C. et al was filed on November 21, 2025, in Monroe County Supreme Court in New York. It is a commercial contract dispute rather than a fraud claim, and Beers is named as a guarantor.6UniCourt. Rocket Capital NY LLC v. KJM Financial, L.L.C. et al
According to the court record, Rocket Capital and KJM Financial entered a “Purchase and Sale of Future Receipts” agreement on September 9, 2025. Rocket Capital purchased future business receipts with a face value of $214,500 for $150,000, with KJM Financial required to remit 13.46% of its weekly business receipts. Rocket Capital alleges KJM Financial defaulted by failing to make the required remittances, using accounts in an unauthorized manner, or revoking ACH debit authorizations.6UniCourt. Rocket Capital NY LLC v. KJM Financial, L.L.C. et al The case remained open as of late 2025.
That kind of future-receipts agreement functions similarly to a merchant cash advance, with a funder buying a share of anticipated revenue for an upfront lump sum. The default, filed weeks before the Gorman complaint, points to financial pressure on KJM Financial by the fall of 2025.
Regulatory and Criminal Status
No criminal charges against Beers appear in the available record, and no state or federal regulator has initiated enforcement proceedings against him or KJM Financial LLC. His FINRA BrokerCheck report discloses no customer complaints, arbitrations, regulatory actions, or disciplinary events of any kind.1FINRA. BrokerCheck Report for Paul Scott Beers (CRD# 1928992) Because Beers is no longer a registered securities broker, FINRA’s ongoing jurisdiction over his conduct is limited. His insurance activities would fall under state insurance regulators, including the New Jersey Department of Banking and Insurance, but no actions from those agencies were found.
Neither Beers nor KJM Financial has been found liable by any court. Both client lawsuits are in early stages.
Not to Be Confused With KJM Securities, Inc.
Searches for “KJM Financial” also surface records for KJM Securities, Inc. (CRD No. 20277), a separate entity. KJM Securities was a broker-dealer that a FINRA Hearing Panel suspended on November 1, 2019, for failing to file its annual audit report for the fiscal year ending March 31, 2019, with a $1,000 late fee and $2,699.77 in costs.7FINRA. KJM Securities Hearing Panel Decision, FPI190006 FINRA expelled the firm on January 2, 2020, the SEC sustained the expulsion on January 25, 2022, and Connecticut’s Banking Commissioner entered a consent order in May 2022 noting the firm was an inactive New York corporation whose Connecticut broker-dealer registration had lapsed.8Connecticut Department of Banking. KJM Securities Consent Order
Nothing in the available records links KJM Securities, Inc. to KJM Financial LLC or to Paul S. Beers. The name similarity appears to be coincidental.