Cross-Border Licensing Exemption

By authority delegated to the Administrator in Section 30-14-401(d), Idaho Code, a Canadian broker-dealer meeting all of the following conditions is determined to be exempt from the registration requirement in Section 30-14-401(a), Idaho Code: (7-1-24) 01. Canadian Broker-Dealer. The broker-dealer is registered in Canada, does not have an office or other physical presence in this state, and is not an office or branch of a broker-dealer domiciled in the United States. (7-1-24) 02. Registered Broker-Dealer. The broker-dealer is registered with or a member of a Canadian self- regulatory organization, stock exchange, or the Bureau des Services Financiers and maintains that registration or membership in good standing. (7-1-24) 03. Customers. The broker-dealer and its agents effect transactions in securities with or for, or induce or attempt to induce the purchase or sale of any security by: (7-1-24) a. An individual from Canada that temporarily resides or is temporarily present in this state and with whom the broker-dealer had a bona fide broker-dealer-customer relationship before the individual entered the United States; or (7-1-24) b. An individual present in this state whose transactions relate to a self-directed, tax advantaged Canadian retirement plan of which the individual is the holder or contributor. (7-1-24) 04. Disclosure. The broker-dealer prominently discloses in writing to its clients in this state that the broker-dealer and its agents are not subject to the full regulatory requirement of the Act. (7-1-24) 05. Jurisdiction. Neither the broker-dealer nor its agents disclaim the applicability of Canadian law or IDAHO ADMINISTRATIVE CODE IDAPA 12.01.08 Idaho Department of Finance Rules Pursuant to the Uniform Securities Act (2004) Section 085 Page 18 jurisdiction to any transaction conducted pursuant to this exemption. (7-1-24) 06. Anti-Fraud Provisions. The broker-dealer and its agents comply with the anti-fraud provisions of the Act and of federal securities laws. (7-1-24) 07. Consent to Service. Prior to or contemporaneously with the first transaction in Idaho, the broker- dealer must file a consent to service of process in a manner that effectively appoints the Administrator as agent for service of process. (7-1-24) 08. Provide Requested Information. Any Canadian broker-dealer or agent relying on this exemption shall, upon written request, furnish the Department any information relative to a transaction covered by Section 084, of these rules, that the Administrator deems relevant. (7-1-24)