justicedao/ipfs_state_laws huggingface dataset:
441-175-0060 Licensing Rule Implementing, 1997 Oregon Laws Chapter 772 and the National Markets Improvement Act of 1996 (1) A FINRA broker dealer is not required to comply with the corporate surety bond, irrevocable letter of credit or net capital requirements for licensing in this state as described in OAR 441-175-0080 or 441-175-0110. (2)(a) A federal covered investment adviser that makes a notice filing under ORS 59.165(7) and section (4) of this rule does not have to comply with OAR 441-175-0100 and 441-175-0110. (b) A state investment adviser who has a principal place of business in a state other than this state and complies with that state's bonding or net capital requirements is not required to comply with the corporate surety bond, irrevocable letter of credit or net capital requirements for licensing in this state in OAR 441-175-0100 and 441-175-0110. (c) An out-of-state state investment adviser that is not exempt under the "de minimis" exemption of ORS 59.015(20)(b)(J) must license in this state and can only operate in this state through an investment adviser representative licensed in this state. (3) Surety bonds currently in effect in Oregon filed by a broker-dealer, federal covered investment adviser or out-of-state state investment adviser that no longer has to file a bond or letter of credit under ORS 59.175 and this rule shall continue in effect until canceled. However, the liability on the bond or letter of credit continues for six years following its cancellation. (4)(a) Notice filing by a federal covered investment adviser will be accepted by the director through IARD using a Form ADV and shall include the fee required by OAR 441-175-0002. (b) The renewal of the notice filing for a federal covered investment adviser will be accepted by the director through IARD and shall include the fee required under OAR 441-175-0002. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 59.165 & 59.285 Statutes/Other Implemented: ORS 59.165 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 1-2012, f. & cert. ef. 7-9-12 FCS 1-2004, f. & cert. ef. 5-19-04 FCS 2-2003(Temp), f. & cert. ef. 11-26-03 thru 5-21-04 FCS 9-2001, f. & cert. ef. 9-28-01 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 4-1998, f. & cert. ef. 8-5-98 FCS 2-1998, f. & cert. ef. 4-30-98 FCS 2-1994, f. & cert. ef. 1-7-94 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 FCS 6-1988, f. 3-22-88, cert. ef. 3-25-88, Renumbered from 815-030-0067 FCS 9-1987(Temp), f. & cert. ef. 10-9-87 FCS 7-1987(Temp), f. 9-24-87, cert. ef. 9-28-87 CC 1-1987, f. & cert. ef. 2-4-87
441-175-0080 Applications for Licensing of Broker-Dealers (1) An applicant for licensing as a FINRA broker-dealer must submit to the FINRA/CRD: (a) A completed Form BD; (b) A broker-dealer licensing fee as set in OAR 441-175-0002; (c) At least one completed Form U-4 pursuant to OAR 441-175-0130. All licensed broker-dealers must have at least one salesperson licensed continuously throughout the licensing period of the broker-dealer; and (d) A salesperson licensing fee for each salesperson as set in OAR 441-175-0002. (2) An applicant for licensing as a non-FINRA broker-dealer must submit to the director: (a) A completed Form BD; (b) A broker-dealer licensing fee as set in OAR 441-175-0002; (c) At least one completed Form U-4 pursuant to OAR 441-175-0120. All licensed broker-dealers must have at least one salesperson licensed continuously throughout the licensing period of the broker-dealer; (d) A salesperson licensing fee for each salesperson as set in OAR 441-175-0002; and (e) The name of the person or persons designated as supervisors for purposes of OAR 441-205-0210. When a new supervisor is designated, this change must be filed with the director within 30 days following the change. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 59.175, 59.195 & 59.285 Statutes/Other Implemented: ORS 59.165, 59.175, 59.185, 59.195 & 59.285 History: FCS 1-2012, f. & cert. ef. 7-9-12 FCS 1-2004, f. & cert. ef. 5-19-04 FCS 2-2003(Temp), f. & cert. ef. 11-26-03 thru 5-21-04 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 FCS 5-1989, f. & cert. ef. 5-17-89 FCS 16-1988(Temp), f. & cert. ef. 11-21-88 FCS 6-1988, f. 3-22-88, cert. ef. 3-25-88, Renumbered from 815-030-0067 FCS 7-1987(Temp), f. 9-24-87, cert. ef. 9-28-87
441-175-0100 Applications for Licensing of Investment Advisers (1) An applicant for licensing as a state investment adviser must apply through the IARD and the director. (2) An applicant must submit to the IARD: (a) A completed Form ADV, including Parts 1 and 2 of Form ADV; (b) An investment adviser licensing fee as required by OAR 441-175-0002; (c) At least one completed Form U-4. All licensed state investment advisers must have at least one representative licensed continuously throughout the licensing period of the investment adviser; and (d) A licensing fee for each investment adviser representative as required by OAR 441-175-0002. (3) An applicant must submit To the director: (a) A surety bond or letter of credit under OAR 441-175-0110 if the person is an Oregon based state investment adviser applicant; (b) The name of the designated compliance person or persons on the Form ADV. A notice of change in the designated compliance person must be filed with the director within 30 days following the change; (c) A copy of any proposed client contracts if the applicant is an Oregon based state investment adviser; (d) A copy of a current balance sheet; and (e) Any form or portion of any form which cannot be submitted through the IARD. (4) An Oregon based investment adviser applicant who has custody or possession of a client’s funds or securities or requires payment of advisory fees six months or more in advance and in excess of $500 per client must file with the director financial statements as defined in OAR 441-011-0040 and prepared by an “independent accountant” as defined in 441-175-0010(13) as follows: (a) If the applicant has been in operation for more than two years, and the application is made less than 90 days after the end of the applicant’s fiscal year, the applicant must provide financial statement for the two most recent fiscal years, not including the most recently completed fiscal year. (b) If the applicant has been in operation for less than two years, the applicant must provide financial statements for the periods of operation. (c) If the year-end financial statements are dated more than 90 days from the date of the completed application, the applicant must provide interim financial statements that were completed within 90 days of the application. (5) All applicants must comply with the provisions of OAR 441-175-0070. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 59.175 & 59.285 Statutes/Other Implemented: ORS 59.175 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 1-2012, f. & cert. ef. 7-9-12 FCS 8-2010, f. 6-22-10, cert. ef. 7-1-10 FCS 1-2004, f. & cert. ef. 5-19-04 FCS 2-2003(Temp), f. & cert. ef. 11-26-03 thru 5-21-04 FCS 9-2001, f. & cert. ef. 9-28-01 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 8-1994, f. & cert. ef. 6-1-94 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 FCS 6-1988, f. 3-22-88, cert. ef. 3-25-88, Renumbered from 815-030-0067 FCS 7-1987(Temp), f. 9-24-87, cert. ef. 9-28-87
441-175-0105 Material Changes, Amendments and Notice of Civil and Criminal Actions (1) A broker-dealer or state investment adviser applicant or licensee must file an amendment to its application and a broker-dealer, state or federal covered investment adviser, must file an amendment to the application of their respective salespersons or investment adviser representatives if there is a material change to any information on the original application or previous amendments including: (a) Bankruptcy; (b) Civil or criminal actions described on the application; (c) Disciplinary disclosure answers on the application; (d) Change in or additional affiliated business entity name; (e) Change in ownership other than as provided in OAR 441-175-0070(7); (f) Change in form of organization; (g) Change of address; or (h) Change in scope of business. (2) Amendments must be filed within 30 days of the occurrence of the material change. If a completed amendment cannot be filed within 30 days, the applicant or licensee shall file with the director within the 30 day limit a written notice containing available information, the reasons a complete amendment cannot be timely filed and a specific date on which the completed amendment will be filed. (3) Amendments to the application shall be made on: (a) A Form BD for broker-dealers; (b) A Form ADV for state investment advisers; and (c) A Form U-4 for salespersons or investment adviser representatives. (4) Amendments to the application shall be filed with: (a) The CRD for broker-dealers who are or will be members of the FINRA and their salespersons; except for changes in designated supervisor, which shall be filed with the director; (b) The IARD for any investment advisers or investment adviser representatives who have previously filed applications through IARD; or (c) The director for all other persons. (5) Filing amendments to a salesperson or investment adviser representative application shall be the responsibility of both the salesperson or investment adviser representative and the employing broker-dealer, or state or federal covered investment adviser. (6) There is no fee required in connection with an amendment filed pursuant to this rule. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 59.175, 59.185 & 59.285 Statutes/Other Implemented: ORS 59.175 & 59.185 History: FCS 1-2012, f. & cert. ef. 7-9-12 FCS 9-2001, f. & cert. ef. 9-28-01 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 2-1994, f. & cert. ef. 1-7-94 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92
441-175-0110 Surety Bond; Letter of Credit (1) Every applicant for a license as an Oregon based state investment adviser, must file with the director a surety bond as specified in section (4) of this rule or a letter of credit as specified in section (5) of this rule. (2) Every person licensed as an Oregon based state investment adviser must maintain a surety bond as specified in section (4) of this rule or a letter of credit as specified in section (5) of this rule during the period of licensing and for at least six years after the person ceases to be licensed as an Oregon based state investment adviser. (3) In no less than six years after a person ceases to be required to maintain a surety bond or a letter of credit, the person may apply to the director for release of the surety bond or letter of credit. Unless the director determines that claims are pending against the person for violation of the Oregon Securities Law, the director shall release the surety bond or letter of credit. (4) A surety bond shall be in a form and on terms approved by the director in the sum of $10,000 from a corporation authorized by the director to transact insurance in the State of Oregon. (5) A letter of credit shall be in the form and on terms approved by the director in the sum of $10,000 from a financial institution authorized to transact banking business in the State of Oregon. Statutory/Other Authority: ORS 59.175 Statutes/Other Implemented: ORS 59.175(4) & 59.225 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 2-1994, f. & cert. ef. 1-7-94 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 FCS 3-1988, f. 2-2-88, cert. ef. 2-3-88, Renumbered from 815-030-0068 FCS 7-1987(Temp), f. 9-24-87, cert. ef. 9-28-87 FCS 1-1987(Temp), f. & cert. ef. 8-7-87 CC 1-1987, f. & cert. ef. 2-4-87
441-175-0150 Termination or Cancellation of Salesperson or Investment Adviser Representative License (1) A salesperson's or investment adviser representative's license with a broker-dealer, state or federal covered investment adviser, issuer or owner, ("employer"), may be terminated at any time by either the salesperson or investment adviser representative, or the employer. (2) The employer shall provide the director and the terminated person with written notice of the termination on a Form U-5 within 30 days of the termination, accurately describing the reason for the termination under ORS 59.370(2). The notice shall be filed as follows: (a) If the employer is a FINRA broker-dealer, the notice shall be filed with the CRD; (b) If the employer is a state or federal covered investment adviser and the investment adviser representative's application was filed through IARD, the notice shall be filed with IARD; (c) All other employers shall file the notice with the director. (3) The salesperson or investment adviser representative may provide the director and the former employer with written notice of the termination in any form at any time. (4) The status of the license of a salesperson or investment adviser representative licensed under OAR chapter 441, division 175 is dependent upon the status of the employer. Therefore, without further action by the director: (a) The suspension of the license or notice of the employer suspends the license of the salesperson or investment adviser representative, however, the end of suspension of the license or notice of the employer automatically reinstates the license of the salesperson or investment adviser representative; (b) The revocation, cancellation, withdrawal or expiration of the license or notice of the employer cancels the license of the salesperson or investment adviser representative; (c) The suspension of the registration of securities suspends the license of the salesperson licensed to the issuer or owner of the securities; and (d) The revocation, cancellation, withdrawal or expiration of the registration of securities cancels the license of the salesperson licensed to the issuer or owner of the securities. (5) Under OAR 441-014-0060, the director may immediately suspend or refuse to renew a salesperson or investment adviser representative license, without prior opportunity for a hearing, upon a showing of a danger to the public health or safety; however, the affected party shall be entitled to a post-action hearing. Statutory/Other Authority: ORS 59.175, 59.185 & 59.285 Statutes/Other Implemented: ORS 59.175, 59.185 & 59.225 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 1-2012, f. & cert. ef. 7-9-12 FCS 12-2001, f. 12-27-01, cert. ef. 1-1-02 FCS 9-2001, f. & cert. ef. 9-28-01 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 2-1994, f. & cert. ef. 1-7-94 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 CC 1-1987, f. & cert. ef. 2-4-87, Renumbered from 815-030-0073 CC 6-1986(Temp), f. & cert. ef. 1-16-86
441-175-0160 Renewal of FINRA Broker-Dealer and Salesperson Licenses (1) The licenses of a FINRA broker-dealer and all affiliated salespersons expire on December 31, unless otherwise renewed according to this rule. (2) To renew a license, a FINRA broker-dealer must submit the following items to the FINRA/CRD: (a) A broker-dealer renewal fee as set in OAR 441-175-0002; and (b) A salesperson renewal fee as set in OAR 441-175-0002 for each salesperson to be renewed. (3) Failure to file a complete renewal application prior to December 31 shall result in termination of the broker-dealer license and all affiliated salesperson licenses as of December 31. (4) If a FINRA broker-dealer satisfies the director that failure to file a complete renewal application prior to December 31 was due to inadvertent oversight and, the FINRA broker-dealer does complete the renewal application by January 31, the director shall reinstate the effected licenses. Statutory/Other Authority: ORS 59.185 & 59.285 Statutes/Other Implemented: ORS 59.185 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 1-2012, f. & cert. ef. 7-9-12 FCS 1-2004, f. & cert. ef. 5-19-04 FCS 2-2003(Temp), f. & cert. ef. 11-26-03 thru 5-21-04 FCS 7-2000, f. & cert. ef. 6-2-00 FCS 1-1992, f. 1-31-92, cert. ef. 2-1-92 FCS 6-1988, f. 3-22-88, cert. ef. 3-25-88, Renumbered from 815-030-0074 FCS 7-1987(Temp), f. 9-24-87, cert. ef. 9-28-87 CC 1-1987, f. & cert. ef. 2-4-87 CC 7-1986(Temp), f. & cert. ef. 1-16-86
441-175-0171 Use of Trade Name or Assumed Business Name (1) Each person holding a license or applying for a license issued under ORS 59.005 to 59.370, who desires to operate under a trade name or an assumed business name must submit the following to the director for each name to be used: (a) A completed application, with an original signature, on a form approved by the director; and (b) A non-refundable filing fee as set in OAR 441-175-0002. (2) An order issued by the director authorizing the licensee to operate under the trade name or assumed business name shall remain in effect until the order is: (a) Suspended or revoked under ORS 59.205; or (b) Cancelled under ORS 59.225. (3)(a) Any person using a trade name or assumed business name pursuant to an order issued by the director must, within 30 days after any change of information, notify the director in writing of any change in address, contact name, phone number or fax number. (b) Any person making a change in the trade name or assumed business name must submit a new notice and filing fee as provided in Section (1) of this rule. Statutory/Other Authority: ORS 59.285Stats. Inplemented: ORS 59.015(8), 59.175(7) & 59.175(8) History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 1-2004, f. & cert. ef. 5-19-04 FCS 2-2003(Temp), f. & cert. ef. 11-26-03 thru 5-21-04 FCS 2-1999, f. & cert. ef. 11-8-99
441-175-0175 Internet Communications (1) Scope of rule. This rule applies to dissemination by firms or individuals of information about securities-related services or products on the Internet, except for any firms or individuals located in Oregon. As used in this section, the term "Internet" is to be construed liberally to include all proprietary or common carrier electronic systems or similar media. (2) Solely disseminating information on the Internet concerning securities-related services or products offered by a firm or individual shall not be deemed to be "transacting business" in this state for purposes of ORS 59.165(1), provided the Internet communication: (a) Is limited to general information on products or services; (b) Prominently and conspicuously states that the firm or individual may only transact business in this state if first licensed or excluded from licensing requirements; (c) Clearly states that follow-up, individualized responses to persons in this state using any contact method by such firm or individual that involve either the effecting or attempting to effect transactions in securities, or the rendering of personalized investment advice for compensation, will not be made absent compliance with Oregon licensing requirements or a valid exclusion from licensing; and (d) Contains mechanisms, including and without limitation, technical firewalls or other implemented policies and procedures, designed reasonably to ensure that prior to any subsequent, direct communication with prospective customers or clients in this state, said firm or individual has completed any applicable licensing or notice filing process in this state, or qualifies for an exclusion from such requirement. (3) In the case of an individual who is a broker-dealer salesperson or an investment adviser representative, the Internet communication must further: (a) Be authorized by the firm with which the individual is affiliated; (b) Clearly disclose the affiliation with the broker-dealer or investment adviser firm; (c) Be within the scope of authority granted to the individual by his or her firm; and (d) Be reviewed and approved for content by a principal of the broker-dealer or investment adviser firm. Statutory/Other Authority: ORS 59.285 Statutes/Other Implemented: ORS 59.165 & 59.175 History: FSR 1-2016, f. & cert. ef. 3-7-16 FCS 7-2000, f. & cert. ef. 6-2-00
441-175-0185 Errors and Omissions Coverage under ORS 59.175 (1) Investment advisors and broker-dealers subject to ORS 59.175 must submit proof of insurance to the division as a condition of licensure and annual renewal. (2) Proof of insurance may be demonstrated by submitting to the division an attestation of compliance on a form approved by the Director and a policy declaration page or a certificate of liability coverage specifying errors and omissions coverage. (a) An attestation must include: (A) The name of the insurer; (B) The policy number; (C) Name of the insured licensee; and (D) Dates of the policy period. (b) The attestation of coverage shall include a statement that the policy has been in continuous effect and shall be signed by a person authorized by the licensee to make such an attestation. (c) For the purposes of compliance with ORS 59.175, a policy may not contain exclusions for investment management services performed in Oregon or for persons performing investment management services in Oregon. (d) The requirements for the insurance may be fulfilled by the policies of one or more insurance carriers which policies together meet such requirements. (3) For the purposes of this rule, policies written by admitted or authorized insurers, registered surplus lines insurers as defined in ORS 735.405 and registered risk retention and purchasing groups as defined in ORS 735.305, will satisfy the errors and omissions requirements of ORS 59.175. Statutory/Other Authority: ORS 59.175, 59.185 & 59.285 Statutes/Other Implemented: ORS 59.175 History: FSR 22-2018, adopt filed 10/10/2018, effective 10/10/2018 FSR 20-2018, temporary adopt filed 06/12/2018, effective 06/12/2018 through 12/08/2018
441-175-0190 Definitions for Investment Adviser Continuing Education As used in OAR 441-175-0190, the following definitions apply unless context requires otherwise. (1) “Approved IAR Continuing Education Content” means the materials, written, oral, or otherwise that have been approved by NASAA or its designee and which make up the educational program provided to an investment adviser representative under this rule. (2) “Authorized Provider” means a person that NASAA or its designee has authorized to provide continuing education content to meet the requirements of OAR 441-175-0190. (3) “Credit” means a unit that has been designated by NASAA or its designee as at least 50 minutes of educational instruction. (4) “FINRA” means the Financial Industry Regulatory Authority. (5) “IAR Ethics and Professional Responsibility Content” means approved IAR continuing education content that addresses an investment adviser representative’s ethical and regulatory obligations. (6) “IAR Products and Practice Content” means approved IAR continuing education content that addresses an investment adviser representative’s continuing skills and knowledge regarding financial products, investment features, and practices in the investment advisory industry. (7) “Investment Adviser Representative” or “IAR” means an individual who meets the definition of “investment adviser representative” in ORS 59.015 and an individual who meets the definition of “investment adviser representative” under 17 CFR 275.203A3. (8) “Home State” means the state in which the IAR has its primary place of business. (9) “NASAA” means the North American Securities Administrators Association or a committee designated by its Board of Directors. (10) “Reporting Period” means one twelve (12) month period as determined by NASAA. An investment adviser representative’s initial Reporting Period with this state commences the first day of the first full Reporting Period after the individual is licensed or required to be licensed with this state. Statutory/Other Authority: ORS 59.285 Statutes/Other Implemented: ORS 59.285 History: FSR 4-2022, adopt filed 12/22/2022, effective 01/01/2023