Title 7
Corporations, Associations, and Partnerships
Chapter 11
Rhode Island Uniform Securities Act
Part II
Licensing of Broker-Dealers, Sales Representatives, and Investment Advisers and Investment Adviser Representatives
R.I. Gen. Laws § 7-11-213
§ 7-11-213. Denial, suspension, or revocation on grounds of lack of qualification.
The director's determination that an applicant or licensed person lacks qualification under § 7-11-212 is limited by the following provisions. The director:
(1) May not enter an order against a broker-dealer on the basis of the lack of qualification of:
(i) A person other than the broker-dealer if the broker-dealer is an individual; or
(ii) A sales representative of the broker-dealer.
(2) May not enter an order against an investment adviser on the basis of the lack of qualification of:
(i) A person other than the investment adviser if the investment adviser is an individual;
(ii) Any other person who represents the investment adviser in doing an act that makes the person an investment adviser; or
(iii) An investment adviser representative of the investment adviser.
(3) May not enter an order solely on the basis of lack of experience of the applicant or licensed person if the applicant or licensed person is qualified by training or knowledge, or both.
(4) Shall consider that a sales representative who will work under the supervision of a licensed broker-dealer need not have the same qualifications as a broker-dealer.
(5) Shall consider that an investment adviser is not necessarily qualified solely on the basis of experience as a broker-dealer or sales representative.
(6) Shall consider that an investment adviser representative who will work under the supervision of a licensed investment adviser need not have the same qualifications as an investment adviser.
History of Section.
P.L. 1990, ch. 460, § 2; P.L. 1991, ch. 69, 1.