69W-600.002. Application for Registration as Associated Person (FINRA Dealer)  


Effective on Tuesday, November 26, 2019
  • 1(1) New Applications.

    4(a) Applicants for initial registration as a principal or associated person of dealers who are members of the Financial Industry Regulatory Authority (FINRA) shall file the Uniform Application for Securities Industry Registration or Transfer (Form U4) electronically through the Central Registration Depository (CRD) of FINRA as prescribed by the Financial Services Commission (Commission). The application shall include all information required by such form, any other information the Office of Financial Regulation (Office) may require, and payment of the statutory fees required by Section 87517.12(10), F.S. 89The 90application shall be deemed received by the Office on the date designated in the “Status Date” field on the line notated “FL” with a “Registration Status” of “pending” as indicated on the CRD “Registrations with Current Employers” screen. 128Every application or amendment filed pursuant to this rule shall constitute a “written application” within the meaning of Section 147517.12(6), F.S.

    149(b) An application shall include the following:

    1561. Form U4 (05/2009). A sample form is hereby incorporated by reference and available at 171http://www.flrules.org/Gateway/reference.asp?No=Ref-06089173.

    1742. Statutory fee, for each application, in the amount as required by Section 187517.12(10), F.S.

    1893. Persons requesting a fee waiver as set forth in Section 200517.12(10), F.S., 202shall submit 204Office of Financial Regulation 208Active Military Member/Veteran/Spouse Fee Waiver and Military Service Verification, 217Form OFR-MIL-001, effective 09/2018221. A sample form is hereby incorporated by reference and available at 233http://www.flrules.org/Gateway/reference.asp?No=Ref-09913235. Form OFR-MIL238-001 239shall be submitted within one hundred eighty (180) days after receipt of the application.

    2534. Evidence of examinations/qualifications set forth in subsection (6) of this rule.

    2655. Fingerprints shall be submitted in accordance with Section 274517.12(7), F.S., 276and subsection (7) of this rule.

    282(2) Request for Additional Information. All information required by subsection (1) of this rule, shall be submitted with the original application filing. Any request for additional documents or information shall be made by the Office within thirty (30) days after receipt of the application. The Office may require documentation to be certified by its issuer based upon the Office’s review of the nature and substance of the disciplinary history of the applicant. For purposes of this rule, “certified” means that there must be an original certification or attestation by the issuer of the record that the document is a true copy of a record contained in its office and its seal, if any. Additional information shall be submitted directly with the Office within sixty (60) days after a request has been made by the Office. Failure to respond to such request within sixty (60) days after the date of the request may be construed by the Office as grounds for denial of an application in accordance with the provisions of Section 453120.60(1), F.S.

    455(3) Amendment of Application. If the information contained in any Form U4 becomes inaccurate for any reason before or after the associated person becomes registered, the associated person through the dealer, shall be responsible for correcting the inaccurate information within thirty (30) days. If the information being updated relates to the applicant’s or registrant’s disciplinary history, in addition to updating the Form U4, the 519associated person through the dealer shall also provide the Office with notice and copies of each civil, criminal or administrative action initiated against the associated person as provided in subsection (10) of this rule. Associated persons of FINRA member firms shall file such amendments through the CRD system.

    567(4) Multiple Registration. An applicant for registration as an associated person may apply to be registered as an associated person of more than one dealer, issuer/dealer, federal covered adviser or investment adviser, or any combination thereof, by the filing of separate applications by each registered dealer, issuer/dealer, federal covered adviser or investment adviser, and payment of separate application fees as required.

    628(5) Alternate Business Name.

    632(a) It is prohibited for any associated person to conduct securities business in this state under any name other than that of the dealer with which associated person is registered unless each of the following conditions is met:

    6701. The business conducted does not violate or evade any provision of Chapter 517, F.S.;

    6852. The business conducted does not fall within the definition of “dealer” or “investment adviser” as used in Chapter 517, F.S.; and,

    7073. The dealer with which the associated person is registered has received written notice of the name under which business shall be conducted.

    730(6) Examinations/Qualifications.

    732(a) Every applicant for registration shall execute and submit a statement attesting to said applicant’s knowledge and review of the Florida Securities and Investor Protection Act, as contained in the Form U4.

    764(b) Every applicant for initial registration as a principal or agent of a dealer shall evidence securities general knowledge by:

    7841. Submitting to the Office proof of passing, within two years of the date of application for registration, an examination relating to the position to be filled administered by a national securities exchange registered with the Securities and Exchange Commission (SEC); or

    8262. Submitting to the Office evidence of effective registration, within the preceding two years, with a national securities association or national stock exchange registered with the SEC, relating to the position to be filled as principal or agent; or

    8653. Having remained continuously registered in the capacity to be filled with the State of Florida without interruption of more than two years; or

    8894. Submitting to the Office proof of passing, within two years of the date of application for registration, an examination relating to the position to be filled administered by a national securities association and proof of passing, within four years of the date of application for registration, the Securities Industry Essentials (SIE) Examination. The following individuals will be considered to have passed the SIE Examination:

    954a. Individuals whose registration as a representative was terminated between October 1, 2014, and September 30, 2018, provided they re-register as a representative within four years from the date of their last registration;

    987b. Individuals who registered as representatives prior to October 1, 2018, and who continue to maintain those registrations on or after October 1, 2018.

    1011(7) Fingerprint Requirements.

    1014(a) Fingerprints filed in accordance with Section 1021517.12(7), F.S., 1023shall be 1025submitted to the Office through a live scan vendor approved by the Florida Department of Law Enforcement (FDLE) and published on FDLE’s website for submission to FDLE and the Federal Bureau of Investigation (FBI) for a state criminal background check and a federal criminal background check. The cost of fingerprint processing shall be borne by the applicant and paid directly to the live scan vendor.

    1090(b) The requirement to submit fingerprints is waived for those associated persons pending registration 1104in Florida with a FINRA member firm and such fingerprints have been submitted and processed by FINRA on behalf of the member firm with which said associated person is pending registration, pursuant to the provisions of SEC rule 17f-2 (114417 C.F.R. §240.17f-21147), which is incorporated by reference in Rule 115569W-200.002, 1156F.A.C.

    1157(8) 1158Renewal Requirement.

    1160(a) 1161Renewal fees for associated persons of FINRA member firms shall be submitted by the firm through the CRD by December 31 of the year the registration expires 1188as required by Section 1192517.12(11), F.S.

    1194(b) For associated persons of FINRA members, failure of the firm to submit the requisite amount of fees by December 31 of the year of expiration of the registration shall result in such registration not being renewed. If December 31 falls on a Saturday, Sunday or legal holiday pursuant to Section 1245110.117, F.S., 1247the renewals received on the next business day shall be considered timely received. However, an expired registration may be reinstated in accordance with the provisions of Section 1274517.12(11), F.S., 1276provided that all requisite information and fees are date stamped by the cashier’s office of the Department of Financial Services on or before January 31 of the year following the year of expiration. Failure to submit the requisite amount of fees necessary to reinstate registration by January 31 of the year following the year of expiration shall result in such registration not being reinstated. If January 31 falls on a Saturday, Sunday, or legal holiday pursuant to Section 1354110.117, F.S., 1356the reinstatement received on the next business day shall be considered timely received. In the event that the renewal or reinstatement is withdrawn or not granted, any fees filed to renew or reinstate registration shall become the revenue of the state pursuant to Section 1400517.12(10), F.S., 1402and shall not be returnable.

    1407(c) Persons requesting a fee waiver as set forth in Section 1418517.12(11) F.S., 1420shall submit 1422Office of Financial Regulation 1426Active Military Member/Veteran/Spouse Fee Waiver and Military Service Verification, 1435Form OFR-MIL-001, effective 09/20181439. A sample form is hereby incorporated by reference and available at 1451http://www.flrules.org/Gateway/reference.asp?No=Ref-099131453. Form OFR-MIL1456-001 1457shall be submitted within one hundred eighty (180) days after receipt of the renewal fees.

    1472(9) Termination of Registration of Principal or Agent.

    1480(a) Where a registrant withdraws, cancels, or otherwise terminates registration, or is terminated for any reason, notice of such fact shall be filed with the Office within thirty (30) calendar days of the date of termination by electronically filing a Uniform Termination Notice for Securities Industry Registration (Form U5) (05/2009) with the Office through the CRD. A sample form is hereby incorporated by reference and is available at 1548http://www.flrules.org/Gateway/reference.asp?No=Ref-060901550.

    1551(b) The Office may deny any request to terminate or withdraw any application or registration as provided under Section 1570517.161(5), F.S.

    1572(10) Notice of Civil, Criminal or Administrative Action. An associated person shall:

    1584(a) Notify the Office within thirty (30) calendar days of the date a complaint is served, of any civil, criminal or administrative charges filed that directly or indirectly relate to the registration or sale of securities, or which directly or indirectly relate to activities as a principal or agent, or any other activity where a breach of a fiduciary trust is alleged. This shall not include minor traffic violations; but shall include any notification of investigation by any recognized regulatory agency; and,

    1666(b) Notify the Office within thirty (30) calendar days of the date of decision, order, or sanction rendered, or any appeal filed with respect to such decision with regard to any complaint outlined in paragraph (10)(a).

    1702(c) Such notifications shall be filed with the Office through the CRD of the FINRA in accordance with subsection (3) of this rule. When specifically requested by the Office pursuant to Section 1734517.021, F.S., 1736one (1) copy of such complaint, answer or reply to any complaint, decision, order, or sanction shall be filed directly with the Office. Responses to requests by the Office for additional information shall be filed directly with the Office.

    1775(11) Continuing Education Requirement. Failure to comply with any of the applicable continuing education requirements set forth in any one of the following shall be deemed a demonstration of unworthiness by an associated person under Section 1811517.161(1)(h), F.S.1813:

    1814(a) FINRA Rule 1240, which is incorporated by reference in Rule 182569W-200.002, 1826F.A.C.;

    1827(b) Rule 345A of the NYSE MKT LLC, which is incorporated by reference in Rule 184269W-200.002, 1843F.A.C.;

    1844(c) Rule G-3(i) of the Municipal Securities Rulemaking Board, which is incorporated by reference in Rule 186069W-200.002, 1861F.A.C.;

    1862(d) Rule 341A of NYSE MKT LLC, which is incorporated by reference in Rule 187669W-200.002, 1877F.A.C.;

    1878(e) NYSE Chicago, Inc. Article 6, Rule 11, which is incorporated by reference in Rule 189369W-200.002, 1894F.A.C.

    1895Rulemaking Authority 1897517.03(1), 1898517.12 FS. 1900Law Implemented 1902517.12 FS. 1904History–New 9-20-82, Formerly 3E-301.02, Amended 10-15-86, 10-4-88, 6-24-90, 7-29-90, 10-14-90, 8-1-91, 6-16-92, 6-28-93, 11-14-93, 3-13-94, 4-30-96, 12-29-96, 6-22-98, 5-10-00, 9-19-00, 7-31-02, 12-11-03, Formerly 3E-600.002, Amended 3-16-06, 5-15-07, 12-24-07, 12-25-08, 11-22-10, 5-29-12, 11-11-13, 12-29-15, 9-25-18, 11-26-19.