View Whole SectionText only Print Print Manager Link
Previous Next

12307. Deficient Claims

This version is valid from Mar 22 2010 through Jul 27 2014.
Amendments have been announced but are not yet effective. To view other versions open the versions tab on the right.

The Customer Code applies to claims filed on or after April 16, 2007. In addition, the list selection provisions of the Customer Code apply to previously filed claims in which a list of arbitrators must be generated after April 16, 2007; in these cases, however, the claim will continue to be governed by the remaining provisions of the old Code unless all parties agree to proceed under the new Code.

(a) The Director will not serve any claim that is deficient. The reasons a claim may be deficient include the following:
•  A Submission Agreement was not filed by each claimant;
•  The Submission Agreement was not properly signed and dated;
•  The Submission Agreement does not name all parties named in the claim;
•  The claimant did not file the correct number of copies of the Submission Agreement, statement of claim or supporting documents for service on respondents and for the arbitrators;
•  The claim does not specify the customer's home address at the time of the events giving rise to the dispute;
•  The claim does not specify the claimant's or the claimant's representative's current address; or
•  The claimant did not pay all required filing fees, unless the Director deferred the fees.
(b) The Director will notify the claimant in writing if the claim is deficient. If the deficiency is corrected within 30 days from the time the claimant receives notice, the claim will be considered filed on the date the initial statement of claim was filed with the Director under Rule 12300(a). If all deficiencies are not corrected within 30 days, the Director will close the case without serving the claim, and will refund part of the filing fee in the amount indicated in the schedule under Rule 12900(c).
(c) The panel will not consider any counterclaim, cross claim or third party claim that is deficient. The reasons a counterclaim, cross claim or third party claim may be deficient include the reasons listed in paragraph (a). The Director will notify the party making the counterclaim, cross claim or third party claim of the any deficiencies in writing. If all deficiencies are not corrected within 30 days from the time the party making the counterclaim, cross claim or third party claim receives notice of the deficiency, the panel will proceed with the arbitration as though the deficient counterclaim, cross claim or third party claim had not been made.
Amended by SR-FINRA-2009-072 eff. March 22, 2010.
Amended by SR-FINRA-2008-031. eff. Feb. 9, 2009.
Amended by SR-FINRA-2009-003 eff. Jan. 8, 2009.
Amended by SR-FINRA-2008-021 eff. Dec. 15, 2008.
Adopted by SR-NASD-2003-158 eff. April 16, 2007.

Selected Notice: 07-07, 08-57, 09-04, 10-11.

Previous Next