reglab/statecodes huggingface dataset:
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-113 - Care of custodial property

(1)
A custodian shall:
(a)
Take control of custodial property;
(b)
Register or record title to custodial property if appropriate; and
(c)
Collect, hold, manage, invest, and reinvest custodial property.
(2)
In dealing with custodial property, a custodian shall observe the standard of care that would be observed by a prudent person dealing with property of another and is not limited by any other statute restricting investments by fiduciaries. If a custodian has a special skill or expertise or is named custodian on the basis of representations of a special skill or expertise, the custodian shall use that skill or expertise. However, a custodian, in the custodian's discretion and without liability to the minor or the minor's estate, may retain any custodial property received from a transferor.
(3)
A custodian may invest in or pay premiums on life insurance or endowment policies on:
(a)
The life of the minor only if the minor or the minor's estate is the sole beneficiary; or
(b)
The life of another person in whom the minor has an insurable interest only to the extent that the minor, the minor's estate, or the custodian in the capacity of custodian is the irrevocable beneficiary.
(4)
A custodian at all times shall keep custodial property separate and distinct from all other property in a manner sufficient to identify it clearly as custodial property of the minor. Custodial property consisting of an undivided interest is so identified if the minor's interest is held as a tenant in common and is fixed. Custodial property subject to recordation is so identified if it is recorded, and custodial property subject to registration is so identified if it is either registered, or held in an account designated, in the name of the custodian, followed in substance by the words: "as a custodian for ___________________ (name of minor) under the "Colorado Uniform Transfers to Minors Act".
(5)
A custodian shall keep records of all transactions with respect to custodial property, including information necessary for the preparation of the minor's tax returns, and shall make them available for inspection at reasonable intervals by a parent or legal representative of the minor or by the minor if the minor has attained the age of fourteen years.
L. 84: Entire article R&RE, p. 388, § 1, effective July 1.
This section is similar to former § 11-50-105 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-114 - Powers of custodian

(1)
A custodian, acting in a custodial capacity, has all the rights, powers, and authority over custodial property that unmarried adult owners have over their own property, but a custodian may exercise those rights, powers, and authority in that capacity only.
(1.5)
At any time, a custodian may transfer part or all of a custodial property to a qualified minor's trust without a court order. Such a transfer terminates the custodianship to the extent of the transfer.
(2)
This section does not relieve a custodian from liability for breach of section
11-50-113
.
L. 84: Entire article R&RE, p. 389, § 1, effective July 1. L. 2007: (1.5) added, p. 126, § 3, effective July 1.
This section is similar to former § 11-50-105 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-115 - Use of custodial property

(1)
A custodian may deliver or pay to the minor or expend for the minor's benefit so much of the custodial property as the custodian considers advisable for the use and benefit of the minor, without court order and without regard to:
(a)
The duty or ability of the custodian personally or of any other person to support the minor; or
(b)
Any other income or property of the minor which may be applicable or available for that purpose.
(2)
On petition of an interested person or the minor if the minor has attained the age of fourteen years, the court may order the custodian to deliver or pay to the minor or expend for the minor's benefit so much of the custodial property as the court considers advisable for the use and benefit of the minor.
(3)
A delivery, payment, or expenditure under this section is in addition to, not in substitution for, and does not affect any obligation of a person to support the minor.
L. 84: Entire article R&RE, p. 389, § 1, effective July 1.
This section is similar to former § 11-50-105 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-116 - Custodian's expenses, compensation, and bond

(1)
A custodian is entitled to reimbursement from custodial property for reasonable expenses incurred in the performance of the custodian's duties.
(2)
Except for one who is a transferor under section
11-50-105
, a custodian has a noncumulative election during each calendar year to charge reasonable compensation for services performed during that year.
(3)
Except as provided in section
11-50-119(6)
, a custodian need not give a bond.
L. 84: Entire article R&RE, p. 390, § 1, effective July 1.
This section is similar to former § 11-50-106 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-117 - Exemption of third person from liability

(1)
A third person in good faith and without court order may act on the instructions of or otherwise deal with any person purporting to make a transfer or purporting to act in the capacity of a custodian and, in the absence of knowledge, is not responsible for determining:
(a)
The validity of the purported custodian's designation;
(b)
The propriety of, or the authority under this article for, any act of the purported custodian;
(c)
The validity or propriety under this article of any instrument or instructions executed or given either by the person purporting to make a transfer or by the purported custodian; or
(d)
The propriety of the application of any property of the minor delivered to the purported custodian.
L. 84: Entire article R&RE, p. 390, § 1, effective July 1.
This section is similar to former § 11-50-107 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-118 - Liability to third persons

(1)
A claim based on a contract entered into by a custodian acting in a custodial capacity, an obligation arising from the ownership or control of custodial property, or a tort committed during the custodianship may be asserted against the custodial property by proceeding against the custodian in the custodial capacity, whether or not the custodian or the minor is personally liable therefor.
(2)
A custodian is not personally liable:
(a)
On a contract properly entered into in the custodial capacity unless the custodian fails to reveal that capacity and to identify the custodianship in the contract; or
(b)
For an obligation arising from control of custodial property or for a tort committed during the custodianship unless the custodian is personally at fault.
(3)
A minor is not personally liable for an obligation arising from ownership of custodial property or for a tort committed during the custodianship unless the minor is personally at fault.
L. 84: Entire article R&RE, p. 390, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-120 - Accounting by and determination of liability of custodian

(1)
A minor who has attained the age of fourteen years, the minor's guardian or legal representative, an adult member of the minor's family, a transferor, or a transferor's legal representative may petition the court:
(a)
For an accounting by the custodian or the custodian's legal representative; or
(b)
For a determination of responsibility, as between the custodial property and the custodian personally, for claims against the custodial property unless the responsibility has been adjudicated in an action under section
11-50-118
to which the minor or the minor's legal representative was a party.
(2)
A successor custodian may petition the court for an accounting by the predecessor custodian.
(3)
The court, in a proceeding under this article or in any other proceeding, may require or permit the custodian or the custodian's legal representative to account.
(4)
If a custodian is removed under section
11-50-119(6)
, the court shall require an accounting and order delivery of the custodial property and records to the successor custodian and the execution of all instruments required for transfer of the custodial property.
L. 84: Entire article R&RE, p. 392, § 1, effective July 1.
This section is similar to former § 11-50-109 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-121 - Termination of custodianship

(1)
The custodian shall transfer in an appropriate manner the custodial property to the minor or to the minor's estate upon the earlier of:
(a)
The minor's attainment of twenty-one years of age; or
(b)
The minor's death.
L. 84: Entire article R&RE, p. 392, § 1, effective July 1. L. 91: Entire section amended, p. 1442, § 1, effective July 1.
This section is similar to former § 11-50-105 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-122 - Applicability

(1)
This article applies to a transfer within the scope of section
11-50-103
made on or after July 1, 1984, if:
(a)
The transfer purports to have been made under the "Colorado Uniform Gifts to Minors Act" as it existed prior to said date; or
(b)
The instrument by which the transfer purports to have been made uses in substance the designation: "as custodian under the uniform gifts to minors act" or "as custodian under the uniform transfers to minors act" of any other state, and the application of this article is necessary to validate the transfer.
L. 84: Entire article R&RE, p. 392, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-123 - Effect on existing custodianships

(1)
Any transfer of custodial property as now defined in this article made before July 1, 1984, is validated notwithstanding that there was no specific authority in the "Colorado Uniform Gifts to Minors Act", as it existed prior to July 1, 1984, for the coverage of custodial property of that kind or for a transfer from that source at the time the transfer was made.
(2)
This article applies to all transfers made before July 1, 1984, in a manner and form prescribed in the former "Colorado Uniform Gifts to Minors Act", except insofar as the application impairs constitutionally vested rights or extends the duration of custodianships in existence on July 1, 1984.
(3)
Sections
11-50-102
and
11-50-121
with respect to the age of a minor for whom custodial property is held under this article do not apply to custodial property held in a custodianship that terminated because of the minor's attainment of the age of eighteen before July 1, 1984.
L. 84: Entire article R&RE, p. 392, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-124 - Uniformity of application and construction

This article shall be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this article among states enacting it.
L. 84: Entire article R&RE, p. 393, § 1, effective July 1.
This section is similar to former § 11-50-110 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-125 - Severability

If any provisions of this article or its application to any person or circumstance are held invalid, the invalidity does not affect other provisions or applications of this article which can be given effect without the invalid provision or application, and to this end the provisions of this article are severable.
L. 84: Entire article R&RE, p. 393, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › FIDUCIARIES AND TRUSTS (§§ 11-50-101 — 11-50-126) › Article 50 - COLORADO UNIFORM TRANSFERS TO MINORS ACT (§§ 11-50-101 — 11-50-126) › Section 11-50-126 - Prior transfers not affected

To the extent that this article, pursuant to section
11-50-123(2)
, does not apply to transfers made in a manner prescribed in the "Colorado Uniform Gifts to Minors Act", as it existed prior to July 1, 1984, or to the powers, duties, and immunities conferred by transfers in that manner upon custodians and persons dealing with custodians, the repeal and reenactment of the "Colorado Uniform Gifts to Minors Act" does not affect those transfers or those powers, duties, and immunities.
L. 84: Entire article R&RE, p. 393, § 1, effective July 1.
This section is similar to former § 11-50-111 as it existed prior to 1984.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 1 - SHORT TITLE, PURPOSE, AND SCOPE (§§ 11-51-101 — 11-51-102) › Section 11-51-101 - Short title and purpose

(1)
This article shall be known and may be cited as the "Colorado Securities Act".
(2)
The purposes of this article are to protect investors and maintain public confidence in securities markets while avoiding unreasonable burdens on participants in capital markets. This article is remedial in nature and is to be broadly construed to effectuate its purposes.
(3)
The provisions of this article and rules made under this article shall be coordinated with the federal acts and statutes to which references are made in this article and rules and regulations promulgated under those federal acts and statutes, to the extent coordination is consistent with both the purposes and the provisions of this article.
L. 90: Entire article R&RE, p. 700, § 1, effective July 1.
This section is similar to former § 11-51-101 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 2 - DEFINITIONS AND REFERENCES TO FEDERAL STATUTES AND RULES (§§ 11-51-201 — 11-51-202) › Section 11-51-201.5 - Investment adviser registration depository - definition

As used in this article, unless the context otherwise requires:
(1)
"Investment adviser registration depository" means the electronic computer registration system known as the investment adviser registration depository, which is operated and maintained by the financial industry regulatory authority and by the states that participate in the system. The term includes any successor system.
Amended by 2015 Ch. 177,§ 3, eff. 5/11/2015.
L. 2001: Entire section added, p. 15, § 1, effective March 9. L. 2015: Entire section amended, (SB 15-104), ch. 177, p. 576, § 3, effective May 11.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-301 - Requirement for registration of securities

It is unlawful for any person to offer to sell or sell any security in this state unless it is registered under this article 51; the security or transaction is exempted under section
11-51-307
,
11-51-308
,
11-51-308.5
, or
11-51-309
; or the security is a federal covered security for which a notice filing has been made pursuant to section
11-51-304.5
.
Amended by 2018 Ch. 280,§ 1, eff. 8/8/2018.
Amended by 2016 Ch. 210,§ 18, eff. 6/6/2016.
L. 90: Entire article R&RE, p. 707, § 1, effective July 1. L. 2016: Entire section amended, (SB 16-189), ch. 210, p. 757, § 18, effective June 6. L. 2018: Entire section amended, (HB 18-1388), ch. 280, p. 1755, § 1, effective August 8.
This section is similar to former § 11-51-107(1) as it existed prior to 1990.
For the applicability of this section, see § 11-51-102(1) and (7). For securities exempted from this section, see § 11-51-307.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-304.5 - Notice filing - investment companies

(1)
With respect to a security that is a federal covered security as defined in section 18 (b)(2) of the federal "Securities Act of 1933", as amended,
15 U.S.C. sec. 77r(b)(2)
, that is not otherwise exempt under section
11-51-307
,
11-51-308
,
11-51-308.5
, or
11-51-309
, before the initial offer of the security, the issuer must file with the securities commissioner a form NF established by the North American Securities Administrators Association, or an analogous form prescribed by the securities commissioner, along with a notice filing fee, which fee shall be determined and collected pursuant to section
11-51-707
.
(2)
A notice filing under this section is effective only for securities sold within twelve months after the date on which the form NF was filed with the securities commissioner. On or before the expiration date, the issuer may renew a notice filing by filing another form NF and paying a renewal fee, which fee shall be determined and collected pursuant to section
11-51-707
. The renewed notice filing becomes effective upon the expiration of the filing being renewed.
(3)
If the securities commissioner finds there is a failure to comply with a notice filing or fee requirement of this section, the securities commissioner may issue a stop order suspending the offer or sale of those securities for which notice filing has not been made or the notice filing fee has not been paid. If the securities commissioner finds that a deficiency is corrected, the stop order is void and no penalty will be imposed.
Added by 2018 Ch. 280,§ 3, eff. 8/8/2018.
L. 2018: Entire section added, (HB 18-1388), ch. 280, p. 1756, § 3, effective August 8.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-305 - Filing of sales literature

(1)
The securities commissioner may, by rule or order, require the filing of any prospectus, pamphlet, circular, form letter, advertisement, or other sales literature addressed or intended for distribution to prospective investors, unless:
(a)
The security or the transaction is exempted by section
11-51-307
,
11-51-308
, or
11-51-309
; or
(b)
The security is subject to the filing requirements of section
11-51-304.5
.
Amended by 2018 Ch. 280,§ 4, eff. 8/8/2018.
L. 90: Entire article R&RE, p. 714, § 1, effective July 1. L. 2018: Entire section amended, (HB 18-1388), ch. 280, p. 1756, § 4, effective August 8.
This section is similar to former § 11-51-114 as it existed prior to 1990.
For securities exempted from this section, see § 11-51-307.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-309 - Discretionary exemptions

The securities commissioner may, by rule or order and subject to such terms and conditions as prescribed therein, from time to time add any securities to the securities exempted in section
11-51-307
or add any transactions to the transactions exempted in section
11-51-308
, if the securities commissioner finds that the application of sections
11-51-301
and
11-51-305
to such securities or transactions is not necessary in the public interest and for the protection of investors.
L. 90: Entire article R&RE, p. 719, § 1, effective July 1.
This section is similar to former § 11-51-113 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-310 - Denial or revocation of exemptions

(1)
(a)
The securities commissioner may, by order, deny or revoke the exemption specified in section
11-51-307(1)(g)
with respect to a specific security or transaction if the securities commissioner finds that such order is necessary in the public interest and for the protection of investors.
(b)
The securities commissioner may, by summary order under section
11-51-606(3)(b)
, summarily suspend the exemption specified in section
11-51-307(1)(g)
as to a specific security or issuer pending final determination of any proceeding under this subsection (1).
(2)
The securities commissioner may, by rule or order, deny or revoke any exemption specified in section
11-51-308(1)(i), (1)(j), and (1)(p)
with respect to a specific security, transaction, issuer, or class of persons if the issuer, any of its predecessors, or any of the issuer's directors, officers, general partners, beneficial owners of ten percent or more of any class of its equity securities, or any of its promoters then presently connected with the issuer in any capacity has been convicted within ten years of any felony in connection with the purchase or sale of any security. Such ten years shall be any ten years prior to any offer or sale of a security for which such exemption would otherwise be available.
(3)
No order under subsection (1) or (2) of this section may operate retroactively. No person may be considered to have violated section
11-51-301
or
11-51-305
by reason of any offer or sale effected after the entry of an order under subsection (1) or (2) of this section if that person sustains the burden of proof that the person did not know, and in the exercise of reasonable care could not have known, of the order.
L. 90: Entire article R&RE, p. 720, § 1, effective July 1. L. 94: (1)(b) amended, p. 1839, § 3, effective July 1.
This section is similar to former § 11-51-113 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 3 - REGISTRATION OF SECURITIES AND EXEMPTIONS (§§ 11-51-301 — 11-51-311) › Section 11-51-311 - Coordination of exemptions

In furtherance of the policy stated in section
11-51-101(3)
, the exemptions under sections
11-51-307
to
11-51-309
shall be coordinated with exemptions for securities and transactions under the federal "Securities Act of 1933" so that an offering registered under the federal "Securities Act of 1933" shall be subject to registration by filing under this article in the absence of an exemption under this article and so that an offering exempt from registration under the federal "Securities Act of 1933", other than pursuant to the exemption for intrastate offerings, shall also be exempt from registration under this article. The securities commissioner shall make, amend, and rescind rules in order to effectuate such policy. Nothing in this section shall limit the powers or actions of the securities commissioner to make, amend, and rescind rules with regard to exemptions provided by sections
11-51-307
and
11-51-308
or added by section
11-51-309
but not contained in the federal "Securities Act of 1933" or rules and regulations thereunder.
L. 90: Entire article R&RE, p. 720, § 1, effective July 1.
This section is similar to former § 11-51-113 as it existed prior to 1990.
For the "Securities Act of 1933", see Pub.L. 73-22, codified at 15 U.S.C. § 77a et seq.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-405 - Examinations and alternate qualifications

(1)
In the case of a license as a broker-dealer, if the applicant is not registered as a broker-dealer under the federal "Securities Exchange Act of 1934", the securities commissioner may by rule require the successful completion of a standardized written examination by any individual who will have primary responsibility to supervise any licensed sales representative of the broker-dealer. In the case of an application for a license as a sales representative to act for a broker-dealer who is not registered as a broker-dealer under the federal "Securities Exchange Act of 1934" or to act for an issuer, the securities commissioner may by rule require the successful completion of a standardized written examination by the applicant. Examinations may differ among classes of applicants. Any examination may be administered by the securities commissioner or any person the securities commissioner may designate.
(2)
An applicant for a license as a broker-dealer or sales representative who is a licensed real estate broker or salesperson pursuant to part 2 of article
10
of title
12
and whose securities activities in this state are limited to trading in securities comprised of notes, bonds, or other evidences of indebtedness secured by mortgages or deeds of trust upon real estate shall be excused from any examination requirement under subsection (1) of this section.
(3)
In the case of a license as an investment adviser representative, the securities commissioner may by rule require the successful completion of one or more standardized written examinations. Examinations may differ among classes of applicants. Any examination may be administered by the securities commissioner or any person the securities commissioner may designate.
(4)
The securities commissioner may by rule designate other qualifications and credentials that will be accepted in lieu of meeting the examination requirement set forth in subsection (3) of this section.
Amended by 2019 Ch. 136, §60, eff. 10/1/2019.
L. 90: Entire article R&RE, p. 723, § 1, effective July 1. L. 98: (3) and (4) added, p. 553, § 8, effective 1/1/1999. L. 2003: (2) amended, p. 1989, § 24, effective May 22. L. 2019: (2) amended, (HB 19-1172), ch. 1659, p. 1659, § 60, effective October 1.
This section is similar to former § 11-51-106 (2.1) as it existed prior to 1990.
For the "Securities Exchange Act of 1934", see Pub.L. 73-291, codified at 15 U.S.C. §78a et seq.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-408 - Licensing of successor firms

(1)
(a)
A licensed broker-dealer or investment adviser may file an application for a license on behalf of a successor, whether or not the successor is in existence. If a broker-dealer or investment adviser succeeds to and continues the business of a licensed broker-dealer or investment adviser and the successor files an application for a license within thirty days after the succession, the license of the predecessor remains effective as the license of the successor for sixty days after the succession. An application filed pursuant to this subsection (1) must satisfy all requirements of an application under this article.
(b)
A federal covered adviser may file a notice on behalf of a successor, whether or not the successor is in existence.
(2)
If a successor is licensed or authorized to do business in this state pursuant to subsection (1) of this section, the license of each sales representative or investment adviser representative licensed to act for the predecessor shall remain effective as a license to act for the successor without a separate filing or payment of a separate fee.
L. 90: Entire article R&RE, p. 725, § 1, effective July 1. L. 98: Entire section amended, p. 558, § 11, effective 1/1/1999.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-409 - Access to records

(1)
The securities commissioner, in a manner reasonable under the circumstances, may examine, without notice, the records, within or without this state, of a licensed broker-dealer or investment adviser that are required to be made and maintained pursuant to this article in order to determine compliance with this article. A licensed broker-dealer or investment adviser may maintain such records in any form of data storage if the records are readily accessible to the securities commissioner in legible form.
(2)
The securities commissioner, in a manner reasonable under the circumstances, may copy records required to be made and maintained under this article or require a licensed broker-dealer or investment adviser, at the expense of the broker-dealer or investment adviser, to copy such records and provide copies to the securities commissioner.
(3)
The securities commissioner, in a manner reasonable under the circumstances, may examine, without notice, the records, within or without this state, of a licensed sales representative or investment adviser representative that are made and maintained by the sales representative or investment adviser representative in the normal course of business in order to determine compliance with this article.
(4)
The securities commissioner, in a manner reasonable under the circumstances, may copy records made and maintained by a licensed sales representative or investment adviser representative in the normal course of business or require a licensed sales representative or investment adviser representative, at the sales representative's or investment adviser representative's expense, to copy such records and provide copies to the securities commissioner.
L. 90: Entire article R&RE, p. 725, § 1, effective July 1. L. 98: Entire section amended, p. 558, § 12, effective 1/1/1999.
This section is similar to former § 11-51-110 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-409.5 - Mandatory disclosure - investment advisers and investment adviser representatives

(1)
Each investment adviser and investment adviser representative of a licensed investment adviser shall furnish a written disclosure statement to each prospective client and to each client who is to receive investment advisory services. Such statement shall, at a minimum, contain the information the securities commissioner by rule requires to be furnished to clients or prospective clients by an investment adviser and an investment adviser representative. In the interests of uniformity, the requirements for disclosure of information under such rules should be coordinated and consistent with those that would be imposed under the federal "Investment Advisers Act of 1940" and the rules promulgated pursuant to that act, and with the requirements of other states, unless the securities commissioner makes the specific finding that to do so would be contrary to the public interest, the protection of investors and advisory clients in this state, and the purposes of this article.
(2)
The disclosure statement described in subsection (1) of this section shall be delivered before the client or prospective client incurs any obligation for or in connection with the investment advisory services. In addition, the investment adviser or investment adviser representative shall annually deliver or offer to deliver without charge upon written request of each client a true copy of the most recently available disclosure statement.
L. 98: Entire section added, p. 559, § 13, effective 1/1/1999.
For the "Investment Advisers Act of 1940", see Pub.L. 76-768, codified at 15 U.S.C. §80b-1 et seq.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-411 - Abandonment of license

If a licensed person has died or ceased to exist as a legal entity, has been adjudicated incompetent, or cannot be located by the securities commissioner after a reasonable search, the securities commissioner may by order summarily revoke the license on the grounds that the license has been abandoned.
L. 90: Entire article R&RE, p. 728, § 1, effective July 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 4 - LICENSING AND REGULATION OF BROKER-DEALERS AND SALES REPRESENTATIVES (§§ 11-51-401 — 11-51-412) › Section 11-51-412 - Withdrawal

(1)
An application for a license may be withdrawn without prejudice by the applicant upon written notice to the securities commissioner before the license becomes effective unless a proceeding under section
11-51-410
to deny the license is pending.
(2)
Withdrawal from licensing as a broker-dealer, investment adviser, sales representative, or investment adviser representative becomes effective thirty days after receipt by the securities commissioner of an application to withdraw, or at such earlier time as the securities commissioner may allow, unless:
(a)
A proceeding under section
11-51-410
against the licensed person is pending when the application is filed or is instituted within thirty days thereafter; or
(b)
Additional information regarding the application is requested by the securities commissioner within thirty days after the application is filed.
(3)
If a proceeding is pending or instituted under subsection (2) of this section, withdrawal becomes effective at the time and upon the conditions the securities commissioner by order determines. If additional information is requested, withdrawal is effective thirty days after the additional information is received by the securities commissioner. If no proceeding is pending or instituted under subsection (2) of this section and withdrawal becomes effective, the securities commissioner may institute a proceeding under section
11-51-410
within one year after withdrawal became effective and enter an order as of the last date on which licensing was effective.
(4)
Unless another date is specified by the federal covered adviser, withdrawal of a notice filing by a federal covered adviser becomes effective upon receipt by the securities commissioner of notice from such adviser of the withdrawal.
L. 90: Entire article R&RE, p. 728, § 1, effective July 1. L. 98: (2) amended and (4) added, p. 562, § 15, effective 1/1/1999.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 5 - FRAUD AND OTHER PROHIBITED CONDUCT (§§ 11-51-501 — 11-51-503) › Section 11-51-502 - Misleading filings

It is unlawful for any person to make or cause to be made, in any document filed with the securities commissioner or in any proceeding under this article, any statement which the person knows or has reasonable grounds to know is, at the time and in the light of the circumstances under which it is made, false or misleading in any material respect.
L. 90: Entire article R&RE, p. 729, § 1, effective July 1.
This section is similar to former § 11-51-115 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 5 - FRAUD AND OTHER PROHIBITED CONDUCT (§§ 11-51-501 — 11-51-503) › Section 11-51-503 - Unlawful representation concerning a license, registration, or exemption

(1)
Neither the fact that an application for a license or a registration statement has been filed nor the fact that a person is licensed or a security is registered constitutes a finding by the securities commissioner that any document filed under this article is true, complete, and not misleading. No such fact, nor the fact that an exemption or exception is available for a person, security, or transaction, means that the securities commissioner has passed in any way upon the merits or qualifications of, or has recommended or given approval to, any person, security, or transaction.
(2)
It is unlawful to make, or cause to be made, to any prospective purchaser or to any existing or prospective customer or client any representation inconsistent with subsection (1) of this section.
L. 90: Entire article R&RE, p. 729, § 1, effective July 1.
This section is similar to former § 11-51-116 as it existed prior to 1990.
For the applicability of this section, see § 11-51-102(1) and (2).
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 6 - ENFORCEMENT AND CIVIL LIABILITY (§§ 11-51-601 — 11-51-607) › Section 11-51-602 - Enforcement by injunction

(1)
Whenever it appears to the securities commissioner upon sufficient evidence satisfactory to the securities commissioner that any person has engaged in or is about to engage in any act or practice constituting a violation of any provision of this article or of any rule or order under this article, the securities commissioner may apply to the district court of the city and county of Denver to temporarily restrain or preliminarily or permanently enjoin the act or practice in question and to enforce compliance with this article or any rule or order under this article. If the action is against a broker-dealer, investment adviser, federal covered adviser, sales representative, or investment adviser representative and the court finds that such person has committed a violation of section
11-51-501
, in addition to any other relief, the court may enter an order imposing such conditions on such person as the court deems appropriate. In any such action, the securities commissioner shall not be required to plead or prove irreparable injury or the inadequacy of the remedy at law. Under no circumstances shall the court require the securities commissioner to post a bond.
(2)
The securities commissioner may include in any action authorized by subsection (1) of this section, relating to any violation of section
11-51-301
,
11-51-401
, or
11-51-501
, a claim for damages under section
11-51-604
or restitution, disgorgement, or other equitable relief on behalf of some or all of the persons injured by the act or practice constituting the subject matter of the action, if the applicable scienter standard of section
11-51-604
is met. No person shall be liable for damages or for restitution, disgorgement, or other equitable relief in any action authorized by subsection (1) of this section for a violation of section
11-51-301
due solely to a failure to file the prescribed notification of exemption or to pay the required exemption fee for an exemption under section
11-51-308 (1)(p)
.
L. 90: Entire article R&RE, p. 730, § 1, effective July 1. L. 98: (1) amended, p. 563, § 17, effective 1/1/1999.
This section is similar to former § 11-51-122 as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 6 - ENFORCEMENT AND CIVIL LIABILITY (§§ 11-51-601 — 11-51-607) › Section 11-51-603 - Criminal penalties

(1)
Any person who willfully violates the provisions of section
11-51-501
commits a class 3 felony and shall be punished as provided in section
18-1.3-401
, C.R.S.
(2)
Any person who willfully violates any of the provisions of this article, except section
11-51-501
, commits a class 6 felony and shall be punished as provided in section
18-1.3-401
, C.R.S.
(3)
The securities commissioner may refer such evidence as is available to the securities commissioner under authority of this article concerning any violation which constitutes the commission of any felony or misdemeanor, including any violation of subsection (1) or (2) of this section, to the attorney general or the proper district attorney, who may, with or without such a reference, prosecute the appropriate criminal proceedings under this article or otherwise as authorized by law, or the securities commissioner may refer such evidence to the proper United States attorney.
(4)
Nothing in this article limits the power of the state to punish any person for any conduct which constitutes a crime by statute.
(5)
No person shall be prosecuted, tried, or punished for any criminal violation of this article unless the indictment, information, complaint, or action for the same is found or instituted within five years after the commission of the offense.
L. 90: Entire article R&RE, p. 731, § 1, effective July 1. L. 2002: (1) and (2) amended, p. 1471, § 42, effective October 1.
This section is similar to former § 11-51-124 as it existed prior to 1990.
For the legislative declaration contained in the 2002 act amending subsections (1) and (2), see section 1 of chapter 318, Session Laws of Colorado 2002.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 6 - ENFORCEMENT AND CIVIL LIABILITY (§§ 11-51-601 — 11-51-607) › Section 11-51-603.5 - Concurrent enforcement by attorney general - legislative declaration

(1)
To facilitate the attorney general's enforcement of criminal violations under this article as contemplated by section
11-51-603(3)
, the general assembly finds that the investigation of criminal violations under this article is the primary responsibility of the attorney general, concurrently with the district attorneys of this state.
(2)
For the purpose of providing adequate funding to the department of law for the investigation and prosecution of allegations of securities fraud, a portion of the fees collected under this article shall be allocated to the department of law for the investigation and prosecution of criminal violations under this article.
L. 2005: Entire section added, p. 802, § 1, effective June 1.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 6 - ENFORCEMENT AND CIVIL LIABILITY (§§ 11-51-601 — 11-51-607) › Section 11-51-605 - Burden of proof

In any proceeding under this article, the burden of proving an exemption or an exception from a definition is upon the person claiming it.
L. 90: Entire article R&RE, p. 733, § 1, effective July 1.
This section is similar to former § 11-51-113(5) as it existed prior to 1990.
2023 Colorado Revised Statutes › Title 11 - FINANCIAL INSTITUTIONS (§§ 11-1-101 — 11-111-116) › SECURITIES (§§ 11-50-101 — 11-54-119) › SECURITIES (§§ 11-51-101 — 11-54-119) › Article 51 - SECURITIES (§§ 11-51-101 — 11-51-1008) › Part 6 - ENFORCEMENT AND CIVIL LIABILITY (§§ 11-51-601 — 11-51-607) › Section 11-51-607 - Judicial review of orders

(1)
Any person aggrieved by a final order of the securities commissioner may obtain a review of the order in the court of appeals pursuant to the provisions of section
24-4-106(11)
, C.R.S.
(2)
The commencement of proceedings under subsection (1) of this section does not, unless specifically ordered by the court, operate as a stay of the securities commissioner's order.
L. 90: Entire article R&RE, p. 734, § 1, effective July 1. L. 94: (1) amended, p. 1844, § 8, effective July 1.
This section is similar to former § 11-51-120 as it existed prior to 1990.