All persons associated with a member who are designated as Foreign Associates shall be required to be registered but shall be exempt from the requirement to pass a Qualification Examination. Persons associated with a member shall be designated as Foreign Associates if they meet the following criteria:
They are not citizens, nationals, or residents of the United States or any of its territories or possessions;
They will conduct all of their securities activities in areas outside the jurisdiction of the United States and they will not engage in any securities activities with or for any citizen, national or resident of the United States.
Prior to the time the exemption provided for in paragraph (a) hereof may become effective, the member desiring to employ any such person must file with NASD a "Uniform Application for Securities Industry Registration or Transfer" for each such person and must certify that such person meets the criteria of paragraph (a), as well as that:
Such person is not subject to any of the prohibitions to registration with the Association contained in Article III, Section 4 of the By-Laws of the Association;
Service of process for any proceeding instituted by the Association in respect to such person may be sent to an address designated by the member.
In the event of the termination of the employment of a Foreign Associate, the member must notify the Association immediately by filing a notice of termination as required by Article V, Section 3 of the By-Laws.
Schedule A, Resolution: Fees for Registered Representatives
IM-1000-1, Filing of Misleading Information as to Membership or Registration