SEC Rule 17a-11 (17 CFR § 240.17a-11) requires registered broker-dealers, OTC derivatives dealers, and security-based swap participants to notify regulators immediately when they experience specific financial or operational difficulties.
Syndicate Legal Advisory Services provides nationwide legal document preparation services for broker-dealer firms required to prepare a notice under SEC Rule 17a-11 (17 CFR § 240.17a-11). We prepare the notice and any related report based on the facts of the triggering event, the specific details you provide, and your instructions.
Documents Commonly Prepared
We prepare a full range of documents associated with a Rule 17a-11 notice, including but not limited to:
- Notice of Deficiency or Event: A formal notice describing the event triggering the Rule 17a-11 obligation (such as a net capital deficiency under Rule 15c3-1, books and records failure under Rule 17a-3, material inadequacy or weakness, or other specified events), including the required details (e.g., net capital requirement and current amount, identification of deficient records, or description of the event) based on the information you supply.
- Corrective Action Report: A follow-up report (where required within 48 hours) describing the steps the firm has taken or is taking to correct the situation, prepared from the information you provide.
- Supporting Statements: Any accompanying explanations, computations, or supporting statements based on client-supplied facts and figures.
- Related Supporting Materials: Organization of exhibits or attachments incorporating client-supplied financial calculations, records descriptions, or other materials referenced in the notice or report.
Documents are prepared for transmission to the Securities and Exchange Commission (principal office and applicable regional office or designated email) and the firm’s designated examining authority (typically FINRA), as required by Rule 17a-11 (subject to the information you provide). Notices under Rule 17a-11 are time-sensitive (often required the same day or within 24 hours of the event) and must contain specific information; clients remain fully responsible for determining whether a notice is required, the accuracy of the content, timely transmission, and compliance with all SEC and FINRA requirements.
