HAR §16-39-430. Registration; generally

(a) A person may be registered as an investment adviser under chapter 485A, HRS, and this chapter if the commissioner finds that the applicant is of good repute and otherwise satisfies the requirements of chapter 485A, HRS, and this chapter. (b) All services of an investment adviser shall be made pursuant to a written investment advisory contract and shall be subject to the disclosure requirements of section 16-39-438. (c) Designation. The commissioner hereby designates the IARD to receive and store filings, and collect related fees from investment advisers and investment adviser representatives on behalf of the commissioner. (d) Use of the IARD. Except as otherwise provided below, all investment adviser and investment adviser representative applications, amendments, reports, notices, related filings, and fees required to be filed with the commissioner pursuant to chapter 485A, HRS, and this chapter, shall be filed electronically with and transmitted to the IARD. The following additional conditions relate to these electronic filings: §16-39-430 39-61 (1) Electronic signature. When a signature or signatures are required by the particular instructions of any filing to be made through the IARD, a duly authorized officer, or the equivalent, of the applicant or the applicant him or herself, as required, shall affix his or her electronic signature to the filing by typing his or her name in the appropriate fields and submitting the filing to the IARD. Submission of a filing in this manner shall constitute irrefutable evidence of legal signature by any individuals whose names are typed on the filing; (2) When filed. Solely for purposes of a filing made through the IARD, a document is considered filed with the commissioner when all fees are received and the filing is accepted by the IARD on behalf of the State. (e) Electronic filings. The electronic filing of any particular document and the collection of related processing fees shall not be required until the IARD provides for receipt of such filings and fees, and the commissioner provides at least thirty calendar days notice that electronic filing is available. Any documents or fees required to be filed with the commissioner that are not permitted to be filed with or cannot be accepted by the IARD shall be filed directly with the commissioner. (f) Hardship exemptions. Notwithstanding subsections (d) and (e), there shall be two types of hardship exemptions from the requirements to make electronic filings: (1) Temporary hardship exemption. (A) Investment advisers registered or required to be registered under the Investment Advisers Act who experience unanticipated technical difficulties that prevent submission of an electronic filing to the IARD may request a temporary hardship exemption §16-39-430 39-62 from the requirements to file electronically; (B) To request a temporary hardship exemption, the investment adviser shall: (i) File Form ADV-H in paper format with the commissioner where the investment adviser's principal place of business is located, no later than one business day after the filing (that is the subject of the Form ADV-H) was due; and (ii) Submit the filing that is the subject of the Form ADV-H in electronic format to the IARD no later than seven business days after the filing was due; (C) Effective date – upon filing. The temporary hardship exemption shall be deemed effective upon receipt by the commissioner of the complete Form ADV- H. Multiple temporary hardship exemption requests within the same calendar year may be disallowed by the commissioner; and (2) Continuing hardship exemption. (A) Criteria for exemption. A continuing hardship exemption may be granted only if the investment adviser is able to demonstrate that the electronic filing requirements of this chapter are prohibitively burdensome; (B) To apply for a continuing hardship exemption, the investment adviser shall: (i) File Form ADV-H in paper format with the commissioner at least twenty business days before a filing is due; and (ii) If a filing is due to more than one commissioner, the Form ADV-H shall be filed with the §16-39-431 39-63 commissioner where the investment adviser's principal place of business is located; (C) Effective date – upon approval. The continuing hardship exemption shall be deemed effective upon approval by the commissioner. The time period of the exemption shall not exceed one year after the date on which the Form ADV-H is filed. If the commissioner approves the application, the investment adviser shall, no later than five business days after the exemption approval date, submit filings to the IARD in paper format (along with the appropriate processing fees) for the period of time for which the exemption is granted. The decision to grant or deny a request for a hardship exemption shall be made by the commissioner or authority of the state in which the investment adviser's principal place of business is located. [Eff 6/30/08; comp 11/18/23] (Auth: HRS §§ 485A-406, 485A-606) (Imp: HRS §§485A-403, 485A-406) §16-39-431 Notice filing for federal covered investment advisers. (a) A federal covered investment adviser may transact business in this State upon submitting to the commissioner a notice filing and notice filing fee as set forth in section 16-39- 103, unless otherwise exempt pursuant to section 485A- 405, HRS. The notice filing and notice filing fee may be filed with the commissioner through the IARD. (b) The notice filing shall consist of the federal covered investment adviser's current Form ADV on file with the SEC. The notice filing shall be effective upon receipt and shall expire December 31 of each year. A notice filing may be renewed prior to December 31 by either: (1) Filing with the commissioner: §16-39-431 39-64 (A) A copy of page one of the federal covered investment adviser's most recent Form ADV; (B) A copy of Item 2 of Part 1A of the federal covered investment adviser's most recent Form ADV; (C) Any amendments to Form ADV that have not been previously filed with the commissioner; (D) A list containing the name and social security number or the IARD number of each investment adviser representative of the adviser who is renewing its registration for the coming notice filing period together with any amendments to the investment adviser representative's Form U-4 that have not been previously filed with the commissioner; (E) A Form U-5 for each registered investment adviser representative who is not renewing its registration for the upcoming notice filing period; and (F) A renewal fee as specified in section 16-39-103, to cover the renewal of the federal covered investment adviser's notice filing and the registration of each of its representatives who is renewing its registration; or (2) Filing a renewal and renewal fees through the IARD. Any investment adviser that elects to renew its notice filing through the IARD shall be required to file directly with the commissioner any information listed in paragraph (1)(D) and (E) that have not been filed through the IARD together with any fees due under paragraph (1)(F) that have not been paid through the IARD. [Eff 6/30/08; comp 11/18/23] (Auth: HRS §485A- 606) (Imp: HRS §485A-405) §16-39-432 39-65