Carl Karcher sued Morgan Stanley & Co.

Karcher accused the New York brokerage house in an Orange County Superior Court suit of churning a family trust account through “unauthorized” and “excessive” trading in order to generate fees and commissions. Karcher, who heads Carl Karcher Enterprises, owner of Carl’s Jr. restaurants, claims that Morgan Stanley and two brokers lost more than $500,000 in the past three years while managing a trust fund set up for himself and his wife. Monroe R. Sonnenborn, vice president and litigation attorney for Morgan Stanley, called the complaint “utterly without merit.” The suit seeks $10.5 million in damages.