Regulatory Alerts2024-02-06 | Regulatory Notice 24-03Added · Updated
Amendments to the Arbitration Codes to Make Various Clarifying and Technical Changes
FINRA has amended its Codes of Arbitration Procedure to implement recommendations from the Lowenstein Sandler LLP report, including codifying manual conflict-of-interest reviews, requiring written explanations for arbitrator removal decisions, and specifying the timing for such challenges. The amendments also update procedural rules by extending personal confidential information redaction requirements to simplified arbitrations, mandating updated submission agreements for third-party claims, and establishing video conference as the default for prehearing conferences and special proceedings. Additionally, the changes clarify hearing session definitions, motion practice delivery, witness and document list separation, hearing record responsibilities, and dismissal procedures for insufficient service or claimant claims. These amendments are effective for arbitration cases filed on or after March 4, 2024.