The purpose and effect is to amend the existing rules to incorporate by reference the current versions of general industry standards and update cross-references and to incorporate by reference SEC Rule 17a-14 (17 C.F.R. ....

 

DEPARTMENT OF FINANCIAL SERVICES

Securities

RULE NOS:RULE TITLES:

69W-200.001Definitions

69W-200.002General Industry Standards Incorporated by Reference

PURPOSE AND EFFECT: The purpose and effect is to amend the existing rules to incorporate by reference the current versions of general industry standards and update cross-references and to incorporate by reference SEC Rule 17a-14 (17 C.F.R. §240.17a-14).

SUMMARY: The proposed amended rules incorporate by reference the current versions of the general industry standards, incorporate Form CRS (17 C.F.R. §240.17a-14) (current as of 7-17-20), and update cross-references.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:

The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein:

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 517.03, 517.1215, 517.1217 FS.

LAW IMPLEMENTED: 517.07, 517.12, 517.021, 517.051, 517.061, 517.081, 517.1215, 517.1217, 517.161 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Ryann White, Division of Securities [phone], [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

69W-200.001 Definitions.

As used in the Rules and Regulations of the Financial Services Commission and Office of Financial Regulation, pursuant to chapter 517, F.S., unless the context otherwise specifically requires:

(1) through (7) No change.

(8)(a) Except as otherwise provided in this subsection, the term “Branch Office” shall mean any location in this state of a dealer or investment adviser at which one or more associated persons regularly conduct the business of rendering investment advice or effecting any transactions in, or inducing or attempting to induce the purchase or sale of, any security or any location that is held out as such. Pursuant to section 517.021(4), F.S., the Financial Services Commission may adopt exceptions to this definition. The following locations shall not be deemed branch offices for purposes of section 517.12(5), F.S., and are considered exceptions to the definition of a branch office under section 517.021(4), F.S.:

1. No change.

2. Any location that is the associated person’s primary residence; provided that:

a. through d. No change.

e. The associated person’s correspondence and communications with the public are subject to the firm’s supervision in accordance with FINRA NASD Rule 3110 3010, as incorporated in rule 69W-200.002, F.A.C.;

f. through i. No change.

3. through 9. No change

(b) through (c) No change.

(9) through (30) No change.  

Rulemaking Authority 517.03(1) FS. Law Implemented 517.07, 517.12, 517.021, 517.051, 517.061, 517.081, 517.161 FS. History–New 12-5-79, Amended 9-20-82, Formerly 3E-200.01, Amended 12-8-87, 10-14-90, 7-31-91, 6-16-92, 1-10-93, 5-5-94, 10-20-97, 8-9-98, 8-19-99, 10-30-03, Formerly 3E-200.001, Amended 5-15-07, 9-30-10, 11-11-13, 9-22-14, 11-15-16,                    .

 

69W-200.002 General Industry Standards Incorporated by Reference.

The following general industry standards as expressed in the statutes, rules and regulations of the various federal and self-regulatory agencies and regulatory associations and referenced in Division 69W, F.A.C., are hereby incorporated by reference and adopted by this rule. The material incorporated by reference in this rule may also be obtained from the Florida Office of Financial Regulation (Office), Division of Securities’ website at http://www.flofr.com/sitePages/MaterialsDS.htm, except where noted for copyright restrictions. Materials subject to copyright restrictions may be inspected and examined by contacting the Florida Office of Financial Regulation, Division of Securities, at 200 E. Gaines Street, Tallahassee, Florida 32399, [phone] or the Florida Department of State at 500 S. Bronough Street, Tallahassee, Florida 32399, [phone].

(1) through (15) No change.

(16) Regulation A (17 C.F.R. §§230.251 through 230.263) (4-1-19 4-1-18 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11289.

(17) through (18) No change.

(19) SEC Rule 701 (17 C.F.R. §230.701) (4-1-19 4-1-13 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-04530.

(20) through (25) No change.

(26) SEC Rules 15c2-1, 15c2-4, 15c2-5, 15c2-7, 15c2-8, 15c2-11, and 15c2-12 (17 C.F.R. §§240.15c2-1, 240.15c2-4, 240.15c2-5, 240.15c2-7, 240.15c2-8, 240.15c2-11, and 240.15c2-12) (4-1-19 4-1-18 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11292.

(27) SEC Rule 15c3-1 and appendices (17 C.F.R. §§240.15c3-1 (7-7-14); 17 C.F.R. §240.15c3-1a; (7-7-14); 17 C.F.R. §240.15c3-1b; (8-9-84); 17 C.F.R. §240.15c3-1c; (12-2-92); 17 C.F.R. §240.15c3-1d; (6-5-08); 17 C.F.R. §240.15c3-1e; (7-7-14); 17 C.F.R. §240.15c3-1f; (7-7-14); 17 C.F.R. §240.15c3-1g (7-7-14)), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-04571.

(28) through (29) No change.

(30) SEC Rules 17a-3 and 17a-4 (17 C.F.R. §§240.17a-3 and 240.17a-4) (current as of 7-7-20 4-1-14 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX.  http://www.flrules.org/Gateway/reference.asp?No=Ref-04568.

(31) No change.

(32) SEC Rules Rule 17a-11 and 17a-14 (17 C.F.R. §§240.17a-11 and 240.17a-14) (current as of 7-17-20 6-1-14), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-04572.

(33) No change.

(34) Regulation M (17 C.F.R. §§242.100 through 242.105) (4-1-19 4-1-14 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX http://www.flrules.org/Gateway/reference.asp?No=Ref-04542.

(35) Regulation SHO (17 C.F.R. §§242.200 through 242.203) (4-1-19 4-1-14 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-04559.

(36) through (37) No change.

(38) SEC Rules 204-1, 204-2, 204-3, 205-1, 205-2, 205-3, 206(3)-1, 206(3)-2, 206(4)-1, 206(4)-3 (17 C.F.R. §§275.204-1; 17 C.F.R. §275.204-2; 17 C.F.R. §275.204-3; 17 C.F.R. §275.205-1; 17 C.F.R. §275.205-2; 17 C.F.R. §275.205-3; 17 C.F.R. §275.206(3)-1; 17 C.F.R. §275.206(3)-2; 17 C.F.R. §275.206(4)-1; 17 C.F.R. §275.206(4)-3) (current as of 7-8-20 4-1-18 edition), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11295.

(39) No change.

(40) FINRA Rules Rule 1020 and 1240 (existing as of 6-26-20 2-22-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11296.

(41) FINRA Rule 2000 Series (2010 through 2370) (existing as of 6-24-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11297.

(42) FINRA Rule 3000 Series (3110 through 3310) (existing as of 6-24-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11298.

(43) FINRA Rule 4000 Series (4110 through 4590) (existing as of 6-24-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11299.

(44) FINRA Rule 5000 Series (5110 through 5350) (existing as of 6-24-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11300.

(45) FINRA Rule 6000 Series (6110 through 6898) (existing as of 6-25-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11301.

(46) FINRA Rule 7000 Series (7110 through 7730) (existing as of 6-25-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11302.

(47) FINRA Rule 11000 Series (11100 through 11900) (existing as of 6-26-20 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11303.

(48) NASD Conduct Rules 2340 and 2510 (existing as of 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-11304.

(49) NASD Conduct Rules 3140, 3150, and IM-3150 (existing as of 3-8-19), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-11305.

(48) (50) MSRB Definitional Rules D-1 to D-15, and General Rules G-1 to G-48 (existing as of 10-1-19 10-1-18), accessible at http://www.flrules.org/Gateway/reference.asp?No=Ref-XXXXX. http://www.flrules.org/Gateway/reference.asp?No=Ref-11306.

(49)(51) NYSE American Rule 341A (existing as of 3-11-19), available for inspection at the Office due to copyright restrictions.

(50)(52) NYSE Rule 345A (existing as of 3-10-19), available for inspection at the Office due to copyright restrictions.

(51)(53) NYSE Rules 412 and 435 (existing as of 2-21-19), available for inspection at the Office due to copyright restrictions.

(52)(54) NYSE Chicago Inc. Article 6, Rule 11 (existing as of 3-11-19), available for inspection at the Office due to copyright restrictions.

Rulemaking Authority 517.03(1), 517.1215(2), 517.1217 FS. Law Implemented 517.081, 517.12(4), 517.1215, 517.1217, 517.161(1) FS. History–New 9-22-14, Amended 5-6-15, 11-26-19,                .     

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Alisa G. Goldberg, Director, Division of Securities

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Financial Services Commission

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: September 22, 2020

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: July 28, 2020