SR-NASD-2005-086

Proposed Rule Change to Amendment to Article VIII of the By-Laws, Relating to District Committees and District Nominating Committees

NASD has filed with the Securities and Exchange Commission ("SEC" or "Commission") a proposed rule change to amend Article VIII (District Committees and District Nominating Committees) of the By-Laws of NASD Regulation, Inc. to clarify the qualification requirements for candidates to NASD District Committees and District Nominating Committees and to establish procedures for the nomination and election of an alternate candidate who will replace, in an uncontested election, a candidate nominated by the District Nominating Committee that withdraws from further consideration or is determined to be ineligible.