Chapter 10 - Client Compliants Flashcards
What must be provided to the client at the time of account opening (re: complaints)
- Written summary of the firm’s compliant handling procedures
- A copy of an approved compliant handling process brochure.
Within how many days must an Acknowledgement letter be sent to the client?
5 Business Days of receipt of the complaint.
How long must complaint files be retained?
7 years
What Powers does the Arbitrator have?
Decides how the dispute should be resolved and what remedy should be imposed (if any).
In Arbitration: can either or both parties be represented by Counsel?
Yes.
In Arbitration: are enforcement and compensation proceedings separate or together?
They are Separate. A decision in one proceeding does not affect the other.
When must a Dealer submit to arbitration at the client’s option?
When the claim does not exceed $500,000.
Under what circumstances can information from an Arbitration hearing be made public or external?
Information can only be obtained by subpoena issued by a court or by a regulator with an investigative order.
What is the maximum $$ value for a claim going to OBSI?
$350,000
For Court Proceedings where not under the Securities Act, what are the general time limitations on a claim?
Generally 2 years from the date of discovery and no more than 15 years after the act or omission.
By copying counsel, does a document attract Privilege?
No - a document must be addressed to counsel seeking advice and counsel must be actively providing advice. ACTS & FACTS within the document are not privileged, only the communication
Explain Litigation Privilege
Applies to documents or communications between counsel and 3rd parties - 1) Litigation must be under way or expected and 2) document or comm was made for use in litigation.
Does litigation privilege only apply to Client-Lawyer documents?
No - Once litigation is contemplated, all communications by counsel for use in that litigation are protected
Why do we mark Offer letters in a dispute “Without Prejudice”
Any disclosure made Without Prejudice, during dispute discussions, cannot be used against them in proceedings if attempts to settle fail. WP allows for constructive settlement discussions