FINRA filed with the SEC a proposed rule change to revise the timeline for the implementation of amended TRACE protocols to disseminate additional Asset-Backed Securities Transactions (SR-FINRA-2013-046). The proposed rule change would provide additional time to complete the technological changes required for the dissemination of the additional securities. See: Text of Proposed Rule Change. Related news: FINRA Files Amendment No. 1 Regarding Trace Reporting Involving Asset-Backed Securities (February 25, 2014); SEC Announces the Designation of a Longer Period for Commission Action Regarding

The Board of Governors of FINRA issued a decision finding that Charles Schwab & Co., Inc. ("Schwab") violated FINRA rules by adding waiver language to customer account agreements prohibiting customers from participating in class actions. Specifically, the waiver provisions required customers to agree that any claims against Schwab be arbitrated solely on an individual basis, and that arbitrators had no authority to consolidate more than one party's claims. This decision reverses, in relevant part, a prior decision in favor of Schwab that would have allowed Schwab to enforce a contractual

The Board of Governors of FINRA approved amendments to FINRA's supervision rule that would expand the obligations of broker-dealers to check the background of individuals seeking to become associated persons of a firm to verify the accuracy and completeness of the information contained in an applicant's Form U4. Additionally, the amendments would also require firms to adopt written procedures in this area, which would include searching public records. In its press release, FINRA announced that it plans to perform a search of publicly available criminal records for all registered individuals

FINRA named Leslie F. Seidman as a new Public Governor. Ms. Seidman served previously as Chairman of the Financial Accounting Standards Board ("FASB"). See: FINRA Press Release.

The Managed Funds Association ("MFA") submitted a comment letter to the CFTC on certain rule amendments self-certified by ICE Swap Trade, LLC concerning the treatment of swaps entered into as part of defined package transactions ("Package Transactions"). MFA's letter outlines suggestions for phasing in the trade execution requirement for different groups of Package Transactions. In a related letter, SIFMA submitted comments to the CFTC expressing support for permitting the execution of package transactions subject to the rules of a SEF, as proposed in the ICE SEF Filing. Furthermore, SIFMA