SENATE BILL REPORT

SB 5955

BYSenator Anderson

Regulating securities sales people.

Senate Committee on Financial Institutions & Insurance

Senate Hearing Date(s):February 28, 1989; January 25, 1990

Senate Staff:Gerard S. Poliquin (786-7403)

AS OF JANUARY 24, 1990

BACKGROUND:

Originally, securities salespersons and investment adviser salespersons were allowed to be registered with only one broker-dealer, issuer, owner of securities or investment adviser at any one time.  Several years ago, however, regulation was developed allowing simultaneous registrations if each employer of a salesperson signed an agreement with all other employers of that salesperson assuming joint and several liability for all Washington securities violations committed by that salesperson during his period of employment.

SUMMARY:

A new section is added to the securities code eliminating the requirement that securities salespersons and investment adviser salespersons obtain joint and several liability agreements from all of their employers, when that salesperson is registered with more than one employer.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested