[Federal Register Volume 68, Number 166 (Wednesday, August 27, 2003)]
[Notices]
[Pages 51613-51618]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-21941]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-48390; File No. SR-NASD-2003-131]


Self-Regulatory Organizations; Notice of Filing of Proposed Rule 
Change by National Association of Securities Dealers, Inc. Relating to 
Proposed Amendments to NASD's Telemarketing Rules To Require Members To 
Participate in the National Do-Not-Call Registry

August 21, 2003.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(``Act'')\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that 
on August 15, 2003, the National Association of Securities Dealers, 
Inc. (``NASD''), filed with the Securities and Exchange Commission 
(``SEC'' or ``Commission'') the proposed rule change as described in 
Items I, II, and III below, which Items have been prepared by NASD. The 
Commission is publishing this notice to solicit comments on the 
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    NASD is filing with the Commission a proposed rule change to 
require members to participate in the Federal Trade Commission's 
(``FTC'') national

[[Page 51614]]

do-not-call registry. Proposed new language is italicized; proposed 
deletions are in brackets.
* * * * *

2200. COMMUNICATIONS WITH THE PUBLIC

* * * * *

2211. Telemarketing

    [No member or person associated with a member shall:]
    [(a) make outbound telephone calls to the residence of any person 
for the purpose of soliciting the purchase of securities or related 
services at any time other than between 8 a.m. and 9 p.m. local time at 
the called person's location, without the prior consent of the person; 
or]
    [(b) make an outbound telephone call to any person for the purpose 
of soliciting the purchase of securities or related services without 
disclosing promptly and in a clear and conspicuous manner to the called 
person the following information:]
    [(1) the identity of the caller and the member firm;]
    [(2) the telephone number or address at which the caller may be 
contacted; and]
    [(3) that the purpose of the call is to solicit the purchase of 
securities or related services.]
    [(c) The prohibitions of paragraphs (a) and (b) shall not apply to 
telephone calls by any person associated with a member, or another 
associated person acting at the direction of such person for the 
purpose of maintaining and servicing the accounts of existing customers 
of the member under the control of or assigned to such associated 
person:]
    [(1) to an existing customer who, within the preceding twelve 
months, has effected a securities transaction in, or made a deposit of 
funds or securities into, an account that, at the time of the 
transaction or the deposit, was under the control of or assigned to, 
such associated person;]
    [(2) to an existing customer who previously has effected a 
securities transaction in, or made a deposit of funds or securities 
into, an account that, at the time of the transaction or deposit, was 
under the control of or assigned to, such associated person, provided 
that such customer's account has earned interest or dividend income 
during the preceding twelve months, or]
    [(3) to a broker or dealer.]
    [(d) For the purposes of paragraph (c), the term ``existing 
customer '' means a customer for whom the broker or dealer, or a 
clearing broker or dealer on behalf of such broker or dealer, carries 
an account. The scope of this Rule is limited to the telemarketing 
calls described herein; the terms of this Rule shall not otherwise 
expressly or by implication impose on members any additional 
requirements with respect to the relationship between a member and a 
customer or between a person associated with a member and a customer.]

(a) General Telemarketing Requirements

    No member or person associated with a member shall initiate any 
telephone solicitation, as defined in paragraph (g)(2) of this rule, 
to:

(1) Time of Day Restriction

    Any residence of a person before the hour of 8 a.m. or after 9 p.m. 
(local time at the called party's location), unless
    (A) the member has an established business relationship with the 
person pursuant to paragraph (g)(1)(A)(i),
    (B) the member has received that person's prior express invitation 
or permission, or
    (C) the person called is a broker or dealer;

(2) Firm-Specific Do-Not-Call List

    Any person that previously has stated that he or she does not wish 
to receive an outbound telephone call made by or on behalf of the 
member; or

(3) National Do-Not-Call List

    Any person who has registered his or her telephone number on the 
Federal Trade Commission's national do-not-call registry.

(b) National Do-Not-Call List Exceptions

    A member making telephone solicitations will not be liable for 
violating paragraph (a)(3) if:

(1) Established Business Relationship Exception

    The member has an established business relationship with the 
recipient of the call. A person's request to be placed on the firm-
specific do-not-call list terminates the established business 
relationship exception to that national do-not-call list provision for 
that member even if the person continues to do business with the 
member;

(2) Prior Express Written Consent Exception

    The member has obtained the person's prior express invitation or 
permission. Such permission must be evidenced by a signed, written 
agreement between the person and member which states that the person 
agrees to be contacted by the member and includes the telephone number 
to which the calls may be placed; or

(3) Personal Relationship Exception

    The associated person making the call has a personal relationship 
with the recipient of the call.

(c) Safe Harbor Provision

    A member or person associated with a member making telephone 
solicitations will not be liable for violating paragraph (a)(3) if the 
member or person associated with a member demonstrates that the 
violation is the result of an error and that as part of the member's 
routine business practice, it meets the following standards:
    (1) Written procedures. The member has established and implemented 
written procedures to comply with the national do-not-call rules;
    (2) Training of personnel. The member has trained its personnel, 
and any entity assisting in its compliance, in procedures established 
pursuant to the national do-not-call rules;
    (3) Recording. The member has maintained and recorded a list of 
telephone numbers that it may not contact; and
    (4) Accessing the national do-not-call database. The member uses a 
process to prevent telephone solicitations to any telephone number on 
any list established pursuant to the do-not-call rules, employing a 
version of the national do-not-call registry obtained from the 
administrator of the registry no more than three months prior to the 
date any call is made, and maintains records documenting this process.

(d) Procedures

    Prior to engaging in telemarketing, a member must institute 
procedures to comply with paragraph (a). Such procedures must meet the 
following minimum standards:
    (1) Written policy. Members must have a written policy for 
maintaining a do-not-call list.
    (2) Training of personnel engaged in telemarketing. Personnel 
engaged in any aspect of telemarketing must be informed and trained in 
the existence and use of the do-not-call list.
    (3) Recording, disclosure of do-not-call requests. If a member 
receives a request from a person not to receive calls from that member, 
the member must record the request and place the person's name, if 
provided, and telephone number on the firm's do-not-call list at the 
time the request is made. Members must honor a person's do-not-call 
request within a reasonable time from the date such request is made. 
This period may not exceed thirty days from the date of such request. 
If such requests are recorded or maintained by a party

[[Page 51615]]

other than the member on whose behalf the telemarketing call is made, 
the member on whose behalf the telemarketing call is made will be 
liable for any failures to honor the do-not-call request.
    (4) Identification of sellers and telemarketers. A member or person 
associated with a member making a call for telemarketing purposes must 
provide the called party with the name of the individual caller, the 
name of the member, an address or telephone number at which the member 
may be contacted, and that the purpose of the call is to solicit the 
purchase of securities or related service. The telephone number 
provided may not be a 900 number or any other number for which charges 
exceed local or long distance transmission charges.
    (5) Affiliated persons or entities. In the absence of a specific 
request by the person to the contrary, a person's do-not-call request 
shall apply to the member making the call, and will not apply to 
affiliated entities unless the consumer reasonably would expect them to 
be included given the identification of the caller and the product 
being advertised.
    (6) Maintenance of do-not-call lists. A member making calls for 
telemarketing purposes must maintain a record of a caller's request not 
to receive further telemarketing calls. A firm-specific do-not-call 
request must be honored for 5 years from the time the request is made.

(e) Wireless Communications

    The provisions set forth in this rule are applicable to members 
telemarketing or making telephone solicitations calls to wireless 
telephone numbers.

(f) Outsourcing Telemarketing

    If a member uses another entity to perform telemarketing services 
on its behalf, the member remains responsible for ensuring compliance 
with all provisions contained in this rule.

(g) Definitions

    (1) Established business relationship.
    (A) An established business relationship exists between a member 
and a person if:
    (i) The person has made a financial transaction with the member 
within the previous 18 months immediately preceding the date of the 
telemarketing call; or
    (ii) The person has contacted the member to inquire about a product 
or service offered by the member within the previous three months 
immediately preceding the date of the telemarketing call.
    (B) A person's established business relationship with a member does 
not extend to the member's affiliated entities unless the person would 
reasonably expect them to be included. Similarly, a person's 
established business relationship with a member's affiliate does not 
extend to the member unless the person would reasonably expect the 
member to be included.
    (2) The terms telemarketing and telephone solicitation mean the 
initiation of a telephone call or message for the purpose of 
encouraging the purchase or rental of, or investment in, property, 
goods, or services, which is transmitted to any person.
    (3) The term personal relationship means any family member, friend, 
or acquaintance of the telemarketer making the call.
* * * * *

Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, NASD included statements 
concerning the purpose of and basis for the proposed rule change and 
discussed any comments it received on the proposed rule change. The 
text of these statements may be examined at the places specified in 
Item IV below. NASD has prepared summaries, set forth in Sections (A), 
(B), and (C) below, of the most significant aspects of such statements.

(A) Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose

Background

    Earlier this year, both the FTC and the Federal Communications 
Commission (``FCC'') established requirements for sellers and 
telemarketers to participate in a national do-not-call registry. 
Beginning in June 2003, consumers have been able to enter their home 
telephone numbers into the national do-not-call registry, which is 
maintained by the FTC. Under rules of the FTC and FCC, sellers and 
telemarketers generally are prohibited from making telephone 
solicitations to consumers whose numbers are listed in the national do-
not-call registry. The FCC's rules are directly applicable to broker/
dealers.
    The national do-not-call registry is not the FCC's or FTC's first 
foray into regulating telemarketing. In 1992 and 1995, the FCC and FTC 
developed requirements for firms to maintain do-not-call lists and to 
limit the hours of telephone solicitations. NASD adopted substantially 
similar rules in 1995 and 1996.\3\ On July 2, 2003, the SEC requested 
that NASD amend its telemarketing rules to include a requirement for 
its members to participate in the national do-not-call registry.\4\
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    \3\ See 60 FR 31527 (June 15, 1995) (approving NASD rule 
requiring members to maintain firm-specific do-not-call lists); 61 
FR 65625 (Dec. 13, 1996) (approving NASD rule creating telemarketing 
time-of-day restrictions and disclosure provisions).
    \4\ The Telemarketing and Consumer Fraud and Abuse Prevention 
Act of 1994 requires the SEC to promulgate telemarketing rules 
substantially similar to those of the FTC or direct self-regulatory 
organizations to do so, unless the SEC determines that such rules 
are not in the interest of investor protection. 47 U.S.C. 6102(d) 
(2003).
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    In this proposed rule change, NASD is amending its rules to 
implement the national do-not-call registry. Because broker/dealers and 
banks are subject to the FCC's jurisdiction, the NASD modeled its rules 
after the FCC, with minor modifications tailoring the rules to broker/
dealers and the securities industry.\5\
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    \5\ Substantively, the Rules of the FCC and FTC are very 
similar. Indeed, Congress has asked the FCC to consult with the FTC 
to maximize consistency between their respective do-not-call rules. 
See The Do-Not-Call Implementation Act, 108 Pub. L. 10, 117 Stat. 
557 (Mar. 11, 2003).
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General Telemarketing Requirements

    Paragraph (a)(1) of the proposed rule change provides the time-of-
day restrictions under which a member or person associated with a 
member may make outbound telephone calls to the residence of any person 
for the purpose of soliciting the purchase of securities or related 
services. Specifically, members may engage in such telephone 
solicitations only between the hours of 8 a.m. to 9 p.m. (local time at 
the called party's location) unless the member has an established 
business relationship with the called person based upon a financial 
transaction with the member, the member has received express written 
permission from the person which allows the member to call outside the 
applicable time frame, or the person called is a broker or dealer. 
These provisions are substantively equivalent to those currently in 
Rule 2211, except that NASD is replacing the current existing customer 
exception with the established business relationship exception. This 
change is discussed in detail below.
    Paragraph (a)(2) provides the requirement for firms to maintain a 
firm-specific do-not-call list.\6\ NASD

[[Page 51616]]

originally established the requirement for firms to maintain their own 
do-not-call lists in 1995. The new federal legislation imposes the 
additional requirement for firms to consult the national do-not call 
registry; it does not eliminate the obligation for firms to maintain 
their own do-not-call lists. The provisions in paragraph (a)(2) are 
substantively equivalent to those in current Rule 3110(g)(1). Members 
should note that under proposed paragraph (d)(3), they must honor a 
request by a person to be placed on a firm-specific do-not-call list 
within thirty days, or sooner if they are able to do so.
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    \6\ NASD Rule 3110(g)(1) currently requires firms to maintain 
firm-specific do-not-call lists. In an effort to consolidate and 
clarify NASD's telemarketing rules, NASD is proposing to combine 
Rule 3110(g)(1) with its main telemarketing rule, Rule 2211. The 
remaining sections of Rule 3110 are substantively unchanged.
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    Paragraph (a)(3) prohibits a member or person or associated with a 
member from making telephone solicitations to any person who registers 
his or her phone number on the national do-not-call registry. Members 
should note that such registrations are maintained in the national 
registry for a period of five years. A consumer may re-register his or 
her telephone number at any time. This re-registration re-commences the 
applicable five-year registration.

Exceptions

    The rules of the FCC and FTC provide several exceptions under which 
sellers and telemarketers may make telephone solicitations to persons 
on the national registry.\7\ NASD has adopted these exceptions.
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    \7\ The FTC rule only contains two exceptions: (1) prior express 
written consent; and (2) an established business relationship. The 
FTC rule, unlike the FCC rule, does not include a personal 
relationship exception.
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    The first exception, contained in paragraph (b)(1), is for calls 
made to persons with whom the member has an ``established business 
relationship.'' An ``established business relationship may be formed in 
two ways. First, under paragraph (g)(1)(A)(i), an established business 
relationship exists between a member and a person if such person has 
made a financial transaction with the member within the previous 18 
months immediately preceding the date of the telemarketing call. 
Second, under paragraph (g)(1)(A)(ii), an established business 
relationship arises if a person has contacted the member to inquire 
about a product or service offered by the member within the previous 
three months immediately preceding the date of the telemarketing call.
    The definition of established business relationship replaces the 
definition of ``existing customer,'' which was applicable solely to the 
time-of-day restriction and disclosure provisions in current Rule 2211. 
NASD believes that requiring members to follow separate definitions of 
existing customer and established business relationship would lead to 
confusion and inadvertent violations. We note that the proposed 
definition of ``established business relationship'' is generally 
broader than the NASD's definition of existing customer in that it 
looks back 18 months rather than 12 months to see if a consumer made a 
financial transaction. In addition, an established business 
relationship may be established by a person inquiring about a product 
or service from the member within the previous three months. NASD 
proposes, however, that time-of-day restrictions should not be waived 
solely because a person inquired about a product or service within the 
past three months. Thus, for purposes of the time-of-day restrictions 
in paragraph (a)(1), an established business relationship must exist 
based upon a financial transaction as specified in paragraph 
(g)(1)(A)(i).
    In addition, for purposes of paragraph (g)(1)(A)(i), NASD proposes 
interpreting the term ``financial transaction'' to mean that a person 
has effected a securities transaction or deposited funds or securities 
with the member. NASD does not believe that under the FCC's or FTC's 
definitions of established business relationship,\8\ the receipt of 
interest or dividends would constitute a financial transaction. We note 
that this is a distinction from current Rule 2211(c)(2), under which a 
person could be an existing customer solely on the basis of interest or 
dividend income. However, because members are subject to FCC rules, we 
have sought to harmonize NASD standards with those of the FCC. We also 
believe that consumers generally would not view receiving interest or 
dividends as sufficient to overcome their expectation that entering 
their telephone number in the national do-not-call registry will 
curtail telephone solicitations.
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    \8\ The FCC's definition of established business relationship 
requires a person's ``purchase or transaction with the entity.'' FCC 
Report 03-153 (July 3, 2003). The FTC's definition is substantially 
similar and states that the established business relationship may be 
formed by the consumer's purchase, rental, or lease of the seller's 
goods or services or a financial transaction between the consumer 
and seller. 68 FR 4580, 4669 (Jan. 29, 2003).
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    A person's request to be placed on a firm-specific do-not-call list 
terminates the established business relationship exception. Thus, a 
member or person associated with a member may not make telephone 
solicitations to a person with whom it has an established business 
relationship if such person requests to be placed on the member's do-
not-call list. This is consistent with NASD's current do-not-call 
provisions, which do not contain any exemption for existing customers. 
Nothing in this section prohibits a member from contacting a customer 
concerning the administration of his or her account. Such calls are not 
telephone solicitation or telemarketing and are not precluded under 
existing NASD rules or the proposed rule change.
    The second exception to the national do-not-call rules, contained 
in paragraph (b)(2), is for calls to persons from whom the member has 
obtained prior express invitation or permission. In accordance with the 
requirements of the FCC and FTC, permission must be evidenced by a 
signed, written agreement between the member and person that 
specifically states that the person agrees to be contacted by the 
member. The agreement also must include the telephone number to which 
calls may be placed.
    The third exception, in paragraph (b)(3), is for calls made by an 
associated person who has a personal relationship with the recipient. 
The definition of personal relationship is in paragraph (g)(3) and 
means ``any family member, friend, or acquaintance of the telemarketer 
making the call.'' The FCC has indicated that in determining whether a 
telemarketer is a friend or acquaintance of the consumer, the FCC will 
look at, among other things, whether a reasonable consumer would expect 
a call from such persons because they have a close, or, at least, a 
firsthand relationship. Members and persons associated with a member 
also should be aware that this exception applies solely to the national 
do-not-call registry. Thus, if a person with whom an associated person 
has a personal relationship has requested to be placed on a firm's do-
not-call list, the associated person may not make a telephone 
solicitation to such person.

Safe Harbor Provision

    The FCC and FTC rules also contain a ``safe harbor'' under which a 
person will not be liable for a violation that is the result of error 
if the telemarketer's routine business practice meets certain specified 
standards. The safe harbor is established in paragraph (c) and applies 
only to a violation of paragraph (a)(3), the national do-not-call 
registry provision. To be eligible for this safe harbor, a member or 
person associated with a member must demonstrate that the member's 
routine business practice meets the following four standards. First, 
the member has established and implemented written procedures to comply 
with the national do-not-call

[[Page 51617]]

rules. Second, the member has trained its personnel, and any entity 
assisting in its compliance, in procedures established pursuant to the 
national do-not-call rules. Third, the member has maintained and 
recorded a list of telephone numbers that the member may not contact. 
Fourth, the member uses a process to prevent telephone solicitations to 
any telephone number on any list established pursuant to the do-not-
call rules, employing a version of the national do-not-call registry 
obtained from the FTC no more than three months prior to the date any 
call is made, and maintains records documenting this process.\9\
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    \9\ We note that under the rules of the FCC, the safe harbor 
contains an additional requirement that a seller or telemarketer use 
a process to ensure that it does not sell, rent, lease, purchase or 
use the national do-not-call database, or any part thereof, for any 
purpose except compliance with the FCC's national do-not-call rules 
and any such state or federal law to prevent telephone solicitations 
to telephone numbers registered on the national database. The 
telemarketer also must purchase access to the relevant do-not-call 
data from the administrator of the national database and must not 
participate in any arrangement to share the cost of accessing the 
national database, including any arrangement with other entities to 
divide the costs to access the national database among various 
client sellers.
    The FTC will collect fees from sellers and telemarketers to fund 
the ongoing expenses of the national registry. The annual cost of 
accessing the FTC's national registry has been set at $25 per area 
code, with a maximum annual cap of $7,375 (equivalent to 300 area 
codes). See 68 FR 45134, 45141 (July 31, 2003). In addition, as part 
of the FTC's Regulatory Flexibility analysis on the burdens to small 
entities, the FTC determined that it would not charge an access fee 
for the first five area codes.
    Although NASD's proposed safe harbor does not contain provisions 
concerning the sale, rent, lease, purchase, use, or means of 
accessing the national do-not-call registry as such matters 
generally fall outside the purview of the investor protection 
concerns underlying the proposed rule change, members are subject to 
the FCC's national do-not-call rules and must nevertheless comply 
with these provisions or risk administrative action by the FCC.
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Telemarketing Procedures

    Paragraph (d) tracks the requirements of the FCC rule and existing 
Rule 2211 in establishing procedures that member firms must institute 
prior to engaging in telemarketing. These procedures include 
requirements to: (1) Have a written policy for maintaining a do-not-
call list; (2) train personnel engaged in telemarketing in the 
existence and use of the do-not-call list; (3) record and disclose 
requests from a person to be added to the member's do-not-call list; 
and (4) have the member provide the called party with the name of the 
individual caller, the name of the member, a telephone number or 
address at which the member may be contacted, and that the purpose of 
the call is to solicit the purchase of securities or related services.
    Paragraph (d)(5) contains the FCC's position with respect to 
affiliated persons or entities. In general, a person's do-not-call 
request applies only to the entity making the call, and does not apply 
to any affiliated entity unless the customer reasonably would expect 
the affiliated entity to be included given the identification of the 
caller and the product being advertised. Similarly, the established 
business relationship exception does not extend to the member's 
affiliated entities unless the customer reasonably would expect the 
member to be included.
    Paragraph (d)(6) explains that members must maintain a record of a 
caller's request not to receive further telemarketing calls and must 
honor that request for a period of five years.

Miscellaneous Provisions

    Paragraph (e) tracks the FCC's position with respect to the 
application of the proposed rule change to wireless telephone numbers. 
In general, the FCC has stated that wireless subscribers may 
participate in the national do-not-call registry. Although FCC 
telemarketing rules only generally apply to residential telephone 
subscribers, the FCC has stated that it will presume wireless 
subscribers who ask to be put on the national do-not-call list are 
residential subscribers. Such a presumption, however, may require a 
complaining wireless customer to provide further proof of the validity 
of that presumption should it need to take enforcement action. NASD 
agrees with this interpretation and, consistent with the FCC, will 
apply its telemarketing provisions to members engaging in telephone 
solicitations with wireless subscribers.
    Paragraph (f) provides that if a member uses another entity to 
perform telemarketing services on its behalf, the member remains 
responsible for ensuring compliance with all provisions contained in 
this proposed rule. Members also should be mindful of the limitations 
on the use of unregistered persons to perform telemarketing services. 
In NASD Notice to Members 00-50 (Aug. 2000), NASD identified the 
limited telemarketing activities that can be performed by unregistered 
persons. Under this Notice, unregistered persons may only contact 
prospective customers to: (1) Extend invitations to firm-sponsored 
events; (2) inquire whether the customer wishes to discuss investments 
with a registered person; and (3) inquire whether the customer wishes 
to receive investment literature. Members must also be mindful of the 
supervision and training requirements contained in the Notice.
2. Basis
    NASD believes that the proposed rule change is consistent with the 
provisions of Section 15A(b)(6) of the Act, which requires, among other 
things, that NASD's rules must be designed to prevent fraudulent and 
manipulative acts and practices, to promote just and equitable 
principles of trade, and, in general, to protect investors and the 
public interest. NASD believes that investors will expect that their 
participation in the national do-not-call registry will, subject to 
certain limited exceptions, preclude telephone solicitations by broker/
dealers.

(B) Self-Regulatory Organization's Statement on Burden on Competition

    NASD does not believe that the proposed rule change will result in 
any burden on competition that is not necessary or appropriate in 
furtherance of the purposes of the Act, as amended.

(C) Self-Regulatory Organization's Statement on Comments on the 
Proposed Rule Change Received From Members, Participants, or Others

    Comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Within 35 days of the date of publication of this notice in the 
Federal Register or within such longer period (i) as the Commission may 
designate up to 90 days of such date if it finds such longer period to 
be appropriate and publishes its reasons for so finding or (ii) as to 
which the self-regulatory organization consents, the Commission will:
    A. By order approve such proposed rule change, or
    B. Institute proceedings to determine whether the proposed rule 
change should be disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the act. Persons making written submissions 
should file six copies thereof with the Secretary, Securities and 
Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule change that are filed with 
the

[[Page 51618]]

Commission, and all written communications relating to the proposed 
rule change between the Commission and any person, other than those 
that may be withheld from the public in accordance with the provisions 
of 5 U.S.C. 552, will be available for inspection and copying in the 
Commission's Public Reference Room. Copies of such filing will also be 
available for inspection and copying at the principal office of NASD. 
All submissions should refer to File No. SR-NASD-2003-131 and should be 
submitted by September 17, 2003. 
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Market Regulation, 
pursuant to delegated authority.\10\
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 03-21941 Filed 8-26-03; 8:45 am]
BILLING CODE 8010-01-P