Proposed Rule Change to Adopt FINRA Rule 11890 Series (Clearly Erroneous Transactions) in the Consolidated FINRA Rulebook

Financial Industry Regulatory Authority, Inc. (“FINRA”) (f/k/a National Association of Securities Dealers, Inc. (“NASD”)) is filing with the Securities and Exchange Commission (“SEC” or “Commission”) a proposed rule change to adopt NASD Rule 11890 (Clearly Erroneous Transactions), IM-11890-1 (Refusal to Abide by Rulings), and IM-11890-2 (Review by Panels of the UPC Committee) as FINRA rules in the consolidated FINRA rulebook. FINRA is amending these rules as part of a market-wide effort designed to provide transparency and finality with respect to clearly erroneous executions. The proposed rule change creates a new FINRA Rule 11890 Series (Clearly Erroneous Transactions), which consists of Rules 11891 (General), 11892 (Clearly Erroneous Transactions in Exchange-Listed Securities), 11893 (Clearly Erroneous Transactions in OTC Equity Securities), and 11894 (Review by the Uniform Practice Code (“UPC”) Committee).

TitleFormat - SizeStatus
Text of Proposed Rule ChangePDF - 281.32 KB
Federal Register NoticePDF - 67.1 KB
Approval OrderPDF - 58.23 KB