Federal Register / Vol. 85, No. 249 / Tuesday, December 29, 2020 / Notices 85769 

21 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See Securities Exchange Act Release Nos. 85962 

(May 29, 2019), 84 FR 26188 (June 5, 2019) and 

81225 (July 27, 2017), 82 FR 36033 (August 2, 2017) 

(SR–NYSE–2017–35). 

2020–019 and should be submitted on 

or before January 19, 2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.21

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2020–28667 Filed 12–28–20; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–90750; File No. SR–NYSE– 

2020–101] 

Self-Regulatory Organizations; New 

York Stock Exchange LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Amend 

Exchange Rules To Delete Rules That 

Are Not Applicable to Trading on the 

Pillar Trading Platform 

December 21, 2020. 

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 

9, 2020, New York Stock Exchange LLC 

(‘‘NYSE’’ or the ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I and II 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 amend 

Exchange rules to delete rules that are 

not applicable to trading on the Pillar 

trading platform or are otherwise 

obsolete. The proposed rule change is 

available on the Exchange’s website at 

www.nyse.com, at the principal office of 

the Exchange, and at the Commission’s 

Public Reference Room. 

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. 

The Exchange has prepared summaries, 

set forth in sections A, B, and C below, 

of the most significant parts of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to amend its 

rules to delete rules that are not 

applicable to trading on the Pillar 

trading platform or are otherwise 

obsolete. 

To effect its transition of trading to 

the Pillar platform, the Exchange 

adopted Rules 1P through 13P. In 

addition, because certain Exchange 

rules pertaining to trading on a floorbased trading platform are not 

applicable to trading on the Pillar 

platform, the Exchange designated 

specified rules governing such trading 

with the following preamble: ‘‘This rule 

is not applicable to trading on the Pillar 

trading platform.’’ 4

On August 22, 2019, the Exchange 

completed its transition of all trading to 

the Pillar platform. Because the rules 

that are not applicable to trading on the 

Pillar trading platform are now obsolete, 

the Exchange proposes to delete rules 

that have been replaced by a Pillar rule. 

The following chart sets forth the 

proposed rules for deletion (left-hand 

column) and applicable Pillar rule 

(right-hand column): 

Rule proposed for deletion Applicable Pillar rule 

Rule 4 (Stock) ........................................................................................... Rule 1.1(r) (NMS Stock). 

Rule 7 (Exchange BBO) ........................................................................... Rule 1.1(c) (BBO). 

Rule 13 (Orders and Modifiers), provided that the Exchange proposes 

to retain the definition of ‘‘retail’’ modifier as set forth in Rule 13(f)(2) 

and proposes to rename Rule 13 as ‘‘Retail Modifiers.’’ 

Rule 7.31 (Orders and Modifiers). 

Rule 14 (Bid or Offer Deemed Regular Way) .......................................... Rule 7.8 (Bid or Offer Deemed Regular Way). 

Rule 15 (Pre-Opening Indications and Opening Order Imbalance Information).Rule 7.35 (General) and Rule 7.35A (DMM-Facilitated Core Open and 

Trading Halt Auctions). 

Rule 15A (Order Protection Rule) ............................................................ Rule 7.37 (Order Execution and Routing). 

Rule 19 (Locking or Crossing Protected Quotations in NMS Stocks) ..... Rule 7.37 (Order Execution and Routing). 

Rule 51 (Hours for Business) ................................................................... Rule 7.1 (Hours of Business) and Rule 7.2 (Holidays). 

Rule 52 (Dealings on the Exchange—Hours) .......................................... Rule 7.34 (Trading Sessions). 

Rule 55 (Unit of Trading—Stocks and Bonds) ......................................... Rule 7.5 (Trading Units). 

Rule 56 (Unit of Trading—Rights) ............................................................ Rule 7.5 (Trading Units). 

Rule 60 (Dissemination of Quotations) .................................................... Rule 7.17 (Firm Orders and Quotes). 

Rule 61 (Recognized Quotations) ............................................................ Rule 7.5 (Trading Units). 

Rule 62 (Variations) .................................................................................. Rule 7.6 (Trading Differentials). 

Rule 70 (Execution of Floor Broker Interest), provided that the Exchange proposes to retain Supplementary Material .30 and .40 to 

this Rule and proposes to rename Rule 70 as ‘‘Operation of an Exchange-Approved Booth Premise’’.

Rule 7.31 (Orders and Modifiers). 

Rule 72 (Priority of Bids and Offers and Allocation of Executions), provided that the Exchange proposes to retain paragraph (d) and Supplementary Material .10 of this Rule and proposes to rename Rule 

72 as ‘‘Priority of Cross Transactions’’.

Rule 7.36 (Order Ranking and Display) and Rule 7.37 (Order Execution and Routing). 

Rule 79A (Miscellaneous Requirements on Stock Market Procedures) .. Rule 7.36 (Order Ranking and Display) and Rule 7.37 (Order Execution and Routing). 

Rule 80C (Limit Up-Limit Down Plan and Trading Pauses in Individual 

Securities Due to Extraordinary Market Volatility).

Rule 7.11 (Limit Up-Limit Down Plan and Trading Pauses in Individual 

Securities Due to Extraordinary Market Volatility). 

Rule 107C (Retail Liquidity Program) ...................................................... Rule 7.44 (Retail Liquidity Program).


KHAMMOND on DSKJM1Z7X2PROD with NOTICES
85770 Federal Register / Vol. 85, No. 249 / Tuesday, December 29, 2020 / Notices 

5The Exchange proposes to retain the section 

header ‘‘Dividends, Interest, Rights, etc.’’ and 

proposes to update the parenthetical to include 

only Rules 235 and 236. 

6 15 U.S.C. 78f(b). 

7 15 U.S.C. 78f(b)(5). 

8 15 U.S.C. 78s(b)(3)(A). 

9 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6) requires a self-regulatory organization to give 

the Commission written notice of its intent to file 

the proposed rule change at least five business days 

prior to the date of filing of the proposed rule 

change, or such shorter time as designated by the 

Commission. The Exchange has satisfied this 

requirement. 

10 17 CFR 240.19b–4(f)(6)(iii). 

11For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule change’s impact on efficiency, 

competition, and capital formation. 15 U.S.C. 78c(f). 

Rule proposed for deletion Applicable Pillar rule 

Rule 115A (Orders at Opening) ............................................................... Rule 7.35 (General) and Rule 7.35A (DMM-Facilitated Core Open and 

Trading Halt Auctions). 

Rule 116 (‘‘Stop’’ Constitutes Guarantee) ................................................ Rule 7.35B (DMM-Facilitated Closing Auctions). 

Rule 123C (The Closing Procedures) ...................................................... Rule 1.1(s) (Definition of Official Closing Price), Rule 7.35 (General), 

Rule 7.35C (DMM-Facilitated Closing Auctions), and Rule 7.35C (Exchange-Facilitated Auctions). 

Rule 123D (Openings and Halts in Trading), provided that the Exchange proposes to retain paragraphs (d) and (e) of this Rule and 

proposes to rename Rule 123D as ‘‘Halts in Trading’’.

Rule 7.35A (DMM-Facilitated Core Open and Trading Halt Auctions) 

and Rule 7.35C (Exchange-facilitated Auctions). 

Rule 127 (Block Crosses Outside the Prevailing NYSE Quotation) ........ Not available. 

Rule 128 (Clearly Erroneous Executions for NYSE Equities) ................. Rule 7.10 (Clearly Erroneous Executions). 

Rule 1000 (Automatic Executions) ........................................................... Rule 7.32 (Order Entry) and Rule 7.37 (Order Execution and Routing). 

Rule 1001 (Execution of Automatically Executing Orders) ...................... Rule 7.37 (Order Execution and Routing). 

Rule 1002 (Availability of Automatic Execution Feature .......................... Rule 7.37 (Order Execution and Routing). 

Rule 1004 (Election of Buy Minus Zero Plus Orders) ............................. Rule 7.31 (Orders and Modifiers). 

In addition, the Exchange proposes to 

delete the following rules in their 

entirety as obsolete: 

• Rule 133. Comparison—Noncleared Transactions 

• Rule 136. Comparison— 

Transactions Excluded from a Clearance 

• Rule 137. Written Contracts 

• Rule 137A. Samples of Written 

Contracts 

• Rule 139. Recording 

• Rule 140. Members Closing 

Contracts—Conditions 

• Rule 141. ‘‘Fail to Deliver’’ 

Confirmations 

• Rule 142. Effect on Contracts of 

Errors in Comparison, etc. 

• Marking to the Market (Rules 165– 

168) 

• Settlement of Contracts (Rules 175– 

227), with the exception of 

Supplementary Material .20 to Rule 200 

(Assignments—By Member 

Organization) 

• Dividends, Interest, Rights, etc. 

(Rules 235–251), with the exception of 

Rule 235 (Ex-Dividend, Ex-Rights) and 

Rule 236 (Ex-Warrants) 5

• Due-Bills (Rules 255–259) 

• Reclamations (Rules 265–275) 

• Closing Contracts (Rules 280–295), 

with the exception of Rule 282 (Buy-in 

Procedures) 

• Liquidation of Securities Loans and 

Borrowings (Rule 296) 

• Miscellaneous Floor Procedure 

(Rules 297–299C) 

2. Statutory Basis 

The proposed rule change is 

consistent with Section 6(b) of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’),6 in general, and furthers the 

objectives of Section 6(b)(5),7 in 

particular, because it is designed to 

prevent fraudulent and manipulative 

acts and practices, to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in facilitating 

transactions in securities, to remove 

impediments to, and perfect the 

mechanism of, a free and open market 

and a national market system and, in 

general, to protect investors and the 

public interest. 

The Exchange believes that its 

proposed rule change would remove 

impediments to and perfect the 

mechanism of a free and open market 

and a national market system because it 

would eliminate rules that are now 

obsolete. The elimination of obsolete 

rules would reduce potential confusion 

and improve the clarity of the 

Exchange’s rules, thereby ensuring that 

members, regulators, and the public can 

more easily navigate and understand the 

Exchange’s rulebook. 

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. The 

proposed change is not designed to 

address any competitive issue, but 

rather it is designed to eliminate 

obsolete rules and enhance the clarity of 

the Exchange’s rules. 

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 

Because the foregoing proposed rule 

change does not: (i) Significantly affect 

the protection of investors or the public 

interest; (ii) impose any significant 

burden on competition; and (iii) become 

operative for 30 days after the date of 

the filing, or such shorter time as the 

Commission may designate, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Act 8 and Rule 19b– 

4(f)(6) 9 thereunder. 

The Exchange has asked the 

Commission to waive the 30-day 

operative delay.10 The Commission 

finds that waiving the 30-day operative 

delay is consistent with the protection 

of investors and the public interest 

because waiver of the operative delay 

will eliminate the potential for 

confusion and improve clarity by 

eliminating rules that are no longer 

applicable or are otherwise obsolete. 

Accordingly, the Commission hereby 

waives the 30-day operative delay and 

designates the proposal operative upon 

filing.11

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission summarily may 

temporarily suspend 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. If the 

Commission takes such action, the 

Commission shall institute proceedings 

to determine whether the proposed rule 

should be approved or disapproved. 


KHAMMOND on DSKJM1Z7X2PROD with NOTICES
Federal Register / Vol. 85, No. 249 / Tuesday, December 29, 2020 / Notices 85771 

12 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3For ERC hearings under Exchange Rule General 

3, Section 2(g), this temporary authority is granted 

to the ERC or relevant Subcommittee. 

4 If the Exchange requires temporary relief from 

the rule requirements identified in this proposal 

beyond April 30, 2021, the Exchange may submit 

a separate rule filing to extend the expiration date 

of the temporary amendments under these rules. 

The amended Exchange rules will revert back to 

their original state at the conclusion of the 

temporary relief period and any extension thereof. 

5See Exchange Act Release No. 89737 (September 

2, 2020), 85 FR 55712 (September 9, 2020) (SR– 

FINRA–2020–027) (‘‘FINRA Filing’’). See also 

Exchange Act Release No. 90619 (December 9, 

2020), 85 FR 81250 (December 15, 2020) (SR– 

FINRA–2020–042) (extending the relief in the 

FINRA Filing through April 30, 2021). The 

Exchange notes that the FINRA Filing also proposed 

to temporarily amend FINRA Rules 9261, 9524, and 

9830, which govern hearings in connection with 

appeals of disciplinary actions, eligibility 

proceedings, and temporary and permanent cease 

and desist orders. The Exchange’s Rules 9261, 9524, 

and 9830 incorporate by reference The Nasdaq 

Stock Market LLC rules, which are the subject of a 

separate filing. See SR–NASDAQ–2020–076 

(November 5, 2020). Therefore, the Exchange is not 

proposing to adopt that aspect of the FINRA Filing. 

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 (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

NYSE–2020–101 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to: Secretary, Securities and Exchange 

Commission, 100 F Street NE, 

Washington, DC 20549–1090. 

All submissions should refer to File 

Number SR–NYSE–2020–101. This file 

number should be included on the 

subject line if email 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 website (http://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 website viewing and 

printing in the Commission’s Public 

Reference Room, 100 F Street NE, 

Washington, DC 20549 on official 

business days between the hours of 

10:00 a.m. and 3:00 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. 

Persons submitting comments are 

cautioned that we do not redact or edit 

personal identifying information from 

comment submissions. You should 

submit only information that you wish 

to make available publicly. All 

submissions should refer to File 

Number SR–NYSE–2020–101 and 

should be submitted on or before 

January 19, 2021. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.12

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2020–28671 Filed 12–28–20; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–90757; File No. SR–MRX– 

2020–23] 

Self-Regulatory Organizations; Nasdaq 

MRX, LLC; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Harmonize Exchange 

Rule General 3, Section 2 With Recent 

Changes by the Financial Industry 

Regulatory Authority, Inc. 

December 21, 2020. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 (‘‘Act’’ 

or ‘‘Exchange Act’’),1 and Rule 19b–4 

thereunder,2 notice is hereby given that 

on December 11, 2020, Nasdaq MRX, 

LLC (‘‘MRX’’ or ‘‘Exchange’’) filed with 

the Securities and Exchange 

Commission (‘‘Commission’’) the 

proposed rule change as described in 

Items I, II, and III below, which Items 

have been prepared substantially by the 

Exchange. 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 harmonize 

Exchange Rule General 3, Section 2 with 

recent changes by the Financial Industry 

Regulatory Authority, Inc. (‘‘FINRA’’). 

This amendment would temporarily 

grant the Exchange Review Council 

(‘‘ERC’’) authority 3 to conduct hearings 

in connection with appeals of 

Membership Application Program 

decisions by video conference, if 

warranted by the current COVID–19- 

related public health risks posed by an 

in-person hearing. As proposed, the 

temporary amendment would be in 

effect through April 30, 2021.4

The text of the proposed rule change 

is available on the Exchange’s website at 

https://listingcenter.nasdaq.com/ 

rulebook/mrx/rules, at the principal 

office of the Exchange, and at the 

Commission’s Public Reference Room. 

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 

Exchange 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 these 

statements may be examined at the 

places specified in Item IV below. The 

Exchange has prepared summaries, set 

forth in sections A, B, and C below, of 

the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange proposes to harmonize 

Exchange Rule General 3, Section 2 with 

recent changes to FINRA Rule 1015 in 

order to temporarily grant the ERC 

authority to conduct hearings in 

connection with appeals of Membership 

Application Program decisions by video 

conference, if warranted by the current 

COVID–19-related public health risks 

posed by an in-person hearing.5 As 

proposed, these temporary amendments 

would be in effect through April 30, 

2021. 

Background 

The Exchange’s rule regarding the 

hearing and evidentiary process for 

appeals of Membership Application 

Program decisions as set forth in Rule 

General 3, Section 2(g) is based on 

FINRA’s Rule 1015. As adopted, the text 

of Exchange Rule General 3, Section 2(g) 


KHAMMOND on DSKJM1Z7X2PROD with NOTICES