Amicus Brief of SIFMA in UBS Financial Services v. West Virginia Hospitals

SIFMA Amicus Brief, in 11-0235-cv (2d Cir.)

March 1, 2011

SIFMA submitted an amicus brief to the Second Circuit Court of Appeals in a case regarding what the term "customer" means for purposes of the FINRA arbitration code. In the lower court proceeding, the Southern District of New York held that the issuer of securities was a "customer" of the underwriter/broker-dealer, and thus a dispute between the parties could proceed to arbitration. SIFMA argues that the case presented a "counterparty" relationship, and that as a "sophisticated part[y]," the issuer did not fit into the term "customer" as it is used in the FINRA rules.

Cross References

FINRA Rule 12100