Each state has its own securities laws. The following are selected sections of the Tennessee securities laws that are generally applicable in FINRA arbitrations.
0780-04-03-.02 POST REGISTRATION.
(6) Prohibited Business Practices
(a) The following shall be deemed “dishonest or unethical business practices” by a brokerdealer
under T.C.A. §48-2-112(a)2.(g), without limiting that term to the practices
specified herein:
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 account;
3. Recommending to a customer the purchase, sale or exchange of any security
without reasonable grounds to believe that the recommendation is suitable for
the customer on the basis of information furnished by the customer after
reasonable inquiry concerning the customer’s investment objectives, financial
situation and needs, and any other information known by the broker-dealer;
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: Boca Raton, broker dealer, broker fraud, Chicago, excessive trading, FINRA, Florida, Illinois, investment losses, investor protection, NASD, SEC, Securities Attorney, securities compliance, securities regulation, stockbroker, suitability, Tennessee securities laws Last modified: July 17, 2015
