Each state has its own securities laws. The following are selected sections of the North Dakota securities laws that are generally applicable in FINRA arbitrations.
73-02-09-02. Unethical practices of dealers. The purpose of this section is
to identify practices in the securities business which are dishonest or unethical. The following must be deemed “dishonest or unethical practices” by any person other
than a sales agent, as used in North Dakota Century Code section 10-04-11. This
section is not intended to be all inclusive, and thus, acts or practices not enumerated herein may also be deemed dishonest or unethical.
2. Inducing trading in a customer’s account which is excessive in size
or frequency in view of the financial resources and character of the
3. Recommending to a customer the purchase, sale, or exchange of any
securities without reasonable grounds to believe that such transaction
or recommendation is suitable for the customer based upon reasonable
inquiry concerning the customer’s investment objectives, financial
situation and needs, and any other relevant information known by the
If you have questions about a state securities law, The White Law Group may be able to help. The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida. With over 30 years of securities law experience, including experience working at FINRA (f/k/a the NASD) and the SEC, The White Law Group has the expertise to help investors defrauded in securities, investment and financial business transactions.
For more information on The White Law Group, please visit our website at https://whitesecuritieslaw.com.Tags: 73-02-09-02, Boca Raton, broker dealer, broker fraud, Chicago, excessive trading, FINRA, Florida, Illinois, investment losses, investor protection, NASD, North Dakota securities laws, SEC, Securities Attorney, securities compliance, securities regulation, stockbroker, suitability Last modified: July 17, 2015