Self-Regulatory Organizations; Financial Industry Regulatory Authority, Inc.; Order Approving Proposed Rule Change To Amend the Deficient Claims Rules of the Codes of Arbitration Procedure for Customer and Industry Disputes, 2179-2180 [2010-544]
Download as PDF
<![CDATA[
Federal Register / Vol. 75, No. 9 / Thursday, January 14, 2010 / Notices
Commission may summarily abrogate
such rule change if it appears to the
Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
or otherwise in furtherance of the
purposes of the Act.
should be submitted on or before
February 4, 2010.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.13
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010–545 Filed 1–13–10; 8:45 am]
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSEArca–2009–116 on
the subject line.
pwalker on DSK8KYBLC1PROD with NOTICES
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Self-Regulatory Organizations;
Financial Industry Regulatory
Authority, Inc.; Order Approving
Proposed Rule Change To Amend the
Deficient Claims Rules of the Codes of
Arbitration Procedure for Customer
and Industry Disputes
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File
Number SR–NYSEArca–2009–116. This
file number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
only one method. The Commission will
post all comments on the Commission’s
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
submission, all subsequent
amendments, all written statements
with respect to the proposed rule
change that are filed with the
Commission, and all written
communications relating to the
proposed rule change between the
Commission and any person, other than
those that may be withheld from the
public in accordance with the
provisions of 5 U.S.C. 552, will be
available for inspection and copying in
the Commission’s Public Reference
Room, 100 F Street, NE., Washington,
DC 20549, on official business days
between the hours of 10 a.m. and 3 p.m.
Copies of the filing also will be available
for inspection and copying at the
principal office of the Exchange. All
comments received will be posted
without change; the Commission does
not edit personal identifying
information from submissions. You
should submit only information that
you wish to make available publicly. All
submissions should refer to File
Number SR–NYSEArca–2009–116 and
VerDate Nov<24>2008
17:36 Jan 13, 2010
Jkt 220001
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–61311; File No. SR–FINRA–
2009–072]
January 7, 2010.
I. Introduction
On October 28, 2009, Financial
Industry Regulatory Authority, Inc.
(‘‘FINRA’’) (f/k/a National Association of
Securities Dealers, Inc. (‘‘NASD’’)) filed
with the Securities and Exchange
Commission (the ‘‘Commission’’),
pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’) 1 and Rule 19b–4 thereunder,2 a
proposed rule change to amend Rule
12307 of the Code of Arbitration for
Customer Disputes (the ‘‘Customer
Code’’) and Rule 13307 of the Code of
Arbitration for Industry Disputes (the
‘‘Industry Code’’) (collectively, the
‘‘Codes’’) to clarify the date of filing of
an arbitration claim once a deficiency is
corrected. The proposed Rule change
was published for comment in the
Federal Register on December 2, 2009.3
The Commission received two comment
letters, both of which supported the
proposed rule change.4 This order
approves the proposed rule change.
II. Description of the Proposal
When parties initiate arbitration
claims in FINRA’s arbitration forum,
they must file a signed and dated
submission agreement, pay all required
filing fees, and provide a statement of
claim explaining the facts and outlining
13 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 74 FR 63167 (Dec. 2, 2009).
4 See letters from William A. Jacobson, Esq.,
Associate Clinical Professor of Law, Director,
Cornell Securities Law Clinic and Sang Joon Kim,
student, dated December 9, 2009, and Scott R.
Shewan, President, Public Investors Arbitration Bar
Association, dated December 17, 2009.
1 15
PO 00000
Frm 00075
Fmt 4703
Sfmt 4703
2179
the remedies requested.5 If a party’s
claims do not comply with the
Customer Code or Industry Code, as
applicable, those claims are considered
deficient.6 FINRA received inquiries
from constituents on how the arbitration
forum determines the date of filing of a
claim that was deficient when filed, but
is later corrected.
To address these constituents’
concerns, FINRA proposed to amend
Rules 12307(b) of the Customer Code
and 13307(b) of the Industry Code to
clarify the date of filing of a deficient
claim when the deficiency is corrected
within 30 days from the time the party
receives notice of the deficiency (the
‘‘Deficiency Period’’). As amended, these
rules would provide that if the
deficiency is corrected within the
Deficiency Period, the claim will be
considered filed on the date the initial
statement of claim was filed.
Two commenters addressed the
proposed rule change and both urged
the Commission to approve it.
III. Discussion and Commission
Findings
The Commission finds the proposed
rule change to be consistent with the
requirements of the Act and the rules
and regulations thereunder applicable to
a national securities association.7 In
particular, the Commission finds that
the proposed rule change is consistent
with Section 15A(b)(6) of the Act in that
it is designed, among other things, to
promote just and equitable principles of
trade and to protect investors and the
public interest.
The Commission believes it is
important to provide persons using
FINRA’s arbitration forum clear
guidance on how to determine the date
of filing of a deficient claim. The
proposed rule change should eliminate
confusion, provide transparency
concerning forum practice, and enhance
the efficiency of case administration.
IV. Conclusion
It is therefore ordered, pursuant to
Section 19(b)(2) of the Act,8 that the
proposed rule change (SR–FINRA–
2009–072) be, and hereby is, approved.
5 Rule 12302(a)(1) of the Customer Code and Rule
13302(a)(1) of the Industry Code.
6 A claim may be deficient because, for example,
the party failed to file a properly signed and dated
submission agreement, failed to pay all required
filing fees, or failed to file the correct number of
copies of the submission agreement, statement of
claim or other supporting documents.
7 In approving the proposed rule change, the
Commission has considered the proposed rule’s
impact on efficiency, competition, and capital
formation. See 15 U.S.C. 78c(f).
8 15 U.S.C. 78s(b)(2).
E:\FR\FM\14JAN1.SGM
14JAN1
2180
Federal Register / Vol. 75, No. 9 / Thursday, January 14, 2010 / Notices
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.9
Florence E. Harmon,
Deputy Secretary.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
BILLING CODE 8011–01–P
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
SECURITIES AND EXCHANGE
COMMISSION
1. Purpose
[Release No. 34–61310; File No. SR–
NYSEAmex–2009–102]
NYSE Amex currently pays a rebate of
$0.0030 per share to customers
providing liquidity in securities with a
trading price of at least $1.00 per share.
With effect from January 1, 2010, this
rebate will decrease to $0.0015 per
share.
In a recent filing, the Exchange
established a Supplemental Liquidity
Provider (‘‘SLP’’) program.4 The
Exchange proposes to establish a system
of credits payable to SLPs when they
provide liquidity to the Exchange. The
Exchange will pay a credit of $0.0020
per share to SLPs when they add
liquidity to the Exchange in securities
with a per share price of $1.00 or more,
if the SLP meets the 3% average or more
quoting requirement in an assigned
security pursuant to Rule 107B.
However, if the SLP does not meet the
3% average or more quoting
requirement in an assigned security
pursuant to Rule 107B, it will be
entitled to the same $0.0015 per share
credit payable to all customers when
adding liquidity to the Exchange in
securities with a per share price of $1.00
or more. The Exchange will pay a credit
of $0.0005 per share to SLPs when they
add liquidity to the Exchange in
securities with a per share price of less
than $1.00, if the SLP meets the 3%
average or more quoting requirement in
an assigned security pursuant to Rule
107B.
[FR Doc. 2010–544 Filed 1–13–10; 8:45 am]
Self-Regulatory Organizations; Notice
of Filing and Immediate Effectiveness
of Proposed Rule Change by NYSE
Amex LLC To Modify Its Liquidity
Credits and Establish Separate
Liquidity Credits for Supplemental
Liquidity Providers
January 7, 2010.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934 (the
‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on December
31, 2009, NYSE Amex LLC (‘‘NYSE
Amex’’ or the ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(the ‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the self-regulatory
organization. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to modify its
liquidity credits and establish liquidity
credits for Supplemental Liquidity
Providers (‘‘SLPs’’). These changes will
take effect on January 1, 2010. The text
of the proposed rule change is available
at the Exchange, the Commission’s
Public Reference Room, and https://
www.nyse.com.
pwalker on DSK8KYBLC1PROD with NOTICES
II. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
In its filing with the Commission, the
self-regulatory organization included
statements concerning the purpose of,
and basis for, the proposed rule change
and discussed any comments it received
on the proposed rule change. The text
of those statements may be examined at
the places specified in Item IV below.
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
the provisions of Section 6 5 of the Act
in general and Section 6(b)(4) of the
Act 6 in particular, in that it is designed
to provide for the equitable allocation of
reasonable dues, fees and other charges
among its members and other persons
using its facilities. The Exchange
believes that the proposal does not
constitute an inequitable allocation of
dues, fees and other charges as all
similarly situated member organizations
will be subject to the same fee structure.
9 17
1 15
VerDate Nov<24>2008
17:36 Jan 13, 2010
SR–NYSEAmex–2009–98.
U.S.C. 78f.
6 15 U.S.C. 78f(b)(4).
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change will impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
No written comments were solicited
or received with respect to the proposed
rule change.
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The foregoing rule change is effective
upon filing pursuant to Section
19(b)(3)(A) 7 of the Act and
subparagraph (f)(2) of Rule 19b–4 8
thereunder, because it establishes a due,
fee, or other charge imposed by NYSE
Amex.
At any time within 60 days of the
filing of the proposed rule change, the
Commission may summarily abrogate
such rule change if it appears to the
Commission that such action is
necessary or appropriate in the public
interest, for the protection of investors,
or otherwise in furtherance of the
purposes of the Act.
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning the foregoing,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
No. SR–NYSEAmex–2009–102 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Elizabeth M. Murphy, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–1090.
All submissions should refer to File No.
SR–NYSEAmex–2009–102. This file
number should be included on the
subject line if e-mail is used. To help the
Commission process and review your
comments more efficiently, please use
4 See
5 15
Jkt 220001
PO 00000
Frm 00076
Fmt 4703
Sfmt 4703
7 15
8 17
E:\FR\FM\14JAN1.SGM
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(2).
14JAN1
]]>Agencies
[Federal Register Volume 75, Number 9 (Thursday, January 14, 2010)]
[Notices]
[Pages 2179-2180]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-544]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-61311; File No. SR-FINRA-2009-072]
Self-Regulatory Organizations; Financial Industry Regulatory
Authority, Inc.; Order Approving Proposed Rule Change To Amend the
Deficient Claims Rules of the Codes of Arbitration Procedure for
Customer and Industry Disputes
January 7, 2010.
I. Introduction
On October 28, 2009, Financial Industry Regulatory Authority, Inc.
(``FINRA'') (f/k/a National Association of Securities Dealers, Inc.
(``NASD'')) filed with the Securities and Exchange Commission (the
``Commission''), pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ a
proposed rule change to amend Rule 12307 of the Code of Arbitration for
Customer Disputes (the ``Customer Code'') and Rule 13307 of the Code of
Arbitration for Industry Disputes (the ``Industry Code'')
(collectively, the ``Codes'') to clarify the date of filing of an
arbitration claim once a deficiency is corrected. The proposed Rule
change was published for comment in the Federal Register on December 2,
2009.\3\ The Commission received two comment letters, both of which
supported the proposed rule change.\4\ This order approves the proposed
rule change.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 74 FR 63167 (Dec. 2, 2009).
\4\ See letters from William A. Jacobson, Esq., Associate
Clinical Professor of Law, Director, Cornell Securities Law Clinic
and Sang Joon Kim, student, dated December 9, 2009, and Scott R.
Shewan, President, Public Investors Arbitration Bar Association,
dated December 17, 2009.
---------------------------------------------------------------------------
II. Description of the Proposal
When parties initiate arbitration claims in FINRA's arbitration
forum, they must file a signed and dated submission agreement, pay all
required filing fees, and provide a statement of claim explaining the
facts and outlining the remedies requested.\5\ If a party's claims do
not comply with the Customer Code or Industry Code, as applicable,
those claims are considered deficient.\6\ FINRA received inquiries from
constituents on how the arbitration forum determines the date of filing
of a claim that was deficient when filed, but is later corrected.
---------------------------------------------------------------------------
\5\ Rule 12302(a)(1) of the Customer Code and Rule 13302(a)(1)
of the Industry Code.
\6\ A claim may be deficient because, for example, the party
failed to file a properly signed and dated submission agreement,
failed to pay all required filing fees, or failed to file the
correct number of copies of the submission agreement, statement of
claim or other supporting documents.
---------------------------------------------------------------------------
To address these constituents' concerns, FINRA proposed to amend
Rules 12307(b) of the Customer Code and 13307(b) of the Industry Code
to clarify the date of filing of a deficient claim when the deficiency
is corrected within 30 days from the time the party receives notice of
the deficiency (the ``Deficiency Period''). As amended, these rules
would provide that if the deficiency is corrected within the Deficiency
Period, the claim will be considered filed on the date the initial
statement of claim was filed.
Two commenters addressed the proposed rule change and both urged
the Commission to approve it.
III. Discussion and Commission Findings
The Commission finds the proposed rule change to be consistent with
the requirements of the Act and the rules and regulations thereunder
applicable to a national securities association.\7\ In particular, the
Commission finds that the proposed rule change is consistent with
Section 15A(b)(6) of the Act in that it is designed, among other
things, to promote just and equitable principles of trade and to
protect investors and the public interest.
---------------------------------------------------------------------------
\7\ In approving the proposed rule change, the Commission has
considered the proposed rule's impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
---------------------------------------------------------------------------
The Commission believes it is important to provide persons using
FINRA's arbitration forum clear guidance on how to determine the date
of filing of a deficient claim. The proposed rule change should
eliminate confusion, provide transparency concerning forum practice,
and enhance the efficiency of case administration.
IV. Conclusion
It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\8\ that the proposed rule change (SR-FINRA-2009-072) be, and
hereby is, approved.
---------------------------------------------------------------------------
\8\ 15 U.S.C. 78s(b)(2).
[[Page 2180]]
---------------------------------------------------------------------------
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\9\
---------------------------------------------------------------------------
\9\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-544 Filed 1-13-10; 8:45 am]
BILLING CODE 8011-01-P
