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Florida Administrative Code (Last Updated: April 18, 2024) |
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69. Department of Financial Services |
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69W. Securities |
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69W-500. Exempt Transactions |
1(1) For the purposes of this rule, the term “single-share stock certificate retailer” means a person or business entity engaged in the business of framing or mounting single-share stock certificates for retail sale to purchasers as gifts, decorations, or novelty items. The term “single-share stock certificate retailer” also includes the employees of the person or business entity.
58(2) The offer or sale of a single-share stock certificate by a single-share stock certificate retailer is subject to the registration requirements of Sections 82517.07 83and 84517.12(1), F.S.; 86however, because the dollar amount of the securities involved in these transactions is small and the character of the offering is limited, the Office finds that the application of the registration requirements of Sections 120517.07 121and 122517.12(1), F.S., 124to these transactions is not necessary for the public interest or for the protection of the investors, if conducted in accordance with this rule.
148(3) Any single-share stock certificate retailer that claims entitlement to the exemption provided under this rule bears the burden of proving such entitlement in any proceeding brought under Chapter 517, F.S.
179(4) In order for an offer or sale of a single-share stock certificate by a single-share stock certificate retailer to qualify for an exemption from the registration requirements of Sections 209517.07 210and 211517.12(1), F.S., 213the offer or sale must comport with all of the following requirements:
225(a) The single-share stock certificate retailer purchases the shares of stock through a registered dealer;
240(b) The single-share stock certificate retailer markets, offers and sells the single-share stock certificate as a gift, decoration, or novelty item;
261(c) The single-share stock certificate is mounted, matted, or framed;
271(d) Each framed single-share stock certificate represents one share of stock in the underlying company;
286(e) The single-share stock certificate retailer does not offer the single-share stock certificate for investment purposes;
302(f) The single-share stock certificate retailer does not offer investment advice;
313(g) The single-share stock certificate retailer does not directly or indirectly promote itself as a dealer;
329(h) The single-share stock certificate retailer is not paid compensation solely for the single-share purchase transaction by the single-share stock certificate retailer;
351(i) The single-share purchase transaction by the single-share stock certificate retailer and the transfer of ownership of the single-share certificate to the purchaser is completed within sixty (60) days after the purchase of the stock by the single-share stock certificate retailer; and
393(j) The offer and sale of the share by the single-share stock certificate retailer is not made for the direct or indirect promotion of any scheme or enterprise with the intent of violating or evading any provision of Chapter 517, F.S.
434(5) Nothing in this rule shall limit the Office’s authority to enforce existing law.
448Rulemaking 449Authority 450517.03(1), 451517.061(19) FS. 453Law Implemented 516.061(19), 456517.171 FS. 458History–New 4594-16-09460.
