{"data":{"id":"us-ok/okla.-stat.-tit.-71-71-1-401","jurisdiction":"us-ok","citation":"Okla. Stat. tit. 71, § 71-1-401","heading":"Broker-dealer registration requirement and exemptions","body":"A. It is unlawful and shall be deemed a Class C2 felony offense\n\nfor a person to transact business in this state as a broker-dealer,\n\nunless the person is registered under this act as a broker-dealer or\n\nis exempt from registration as a broker-dealer under subsection B or\n\nD of this section.\n\nB. The following persons are exempt from the registration\n\nrequirement of subsection A of this section:\n\n1. A broker-dealer without a place of business in this state if\n\nits only transactions effected in this state are with:\n\na. the issuer of the securities involved in the\n\ntransactions,\n\nb. a broker-dealer registered under this act or a broker-\n\ndealer not required to be registered as a broker-\n\ndealer under this act,\n\nc. an institutional investor,\n\nd. a nonaffiliated federal covered investment adviser\n\nwith investments under management in excess of One\n\nHundred Million Dollars ($100,000,000.00) acting for\n\nthe account of others pursuant to discretionary\n\nauthority in a signed record,\n\ne. a bona fide preexisting customer whose principal place\n\nof residence is not in this state and the person is\n\nregistered as a broker-dealer under the Securities\n\nExchange Act of 1934 or not required to be registered\n\nunder the Securities Exchange Act of 1934 and is\n\nregistered under the securities act of the state in\n\nwhich the customer maintains a principal place of\n\nresidence,\n\nf. a bona fide preexisting customer whose principal place\n\nof residence is in this state but was not present in\n\nthis state when the customer relationship was\n\nestablished, if:\n\n(1) the broker-dealer is registered under the\n\nSecurities Exchange Act of 1934 or the broker-\n\ndealer is not required to be registered under the\n\nSecurities Exchange Act of 1934 and is registered\n\nunder the securities laws of the state in which\n\nthe customer relationship was established and\n\nwhere the customer had maintained a principal\n\nplace of residence, and\n\n(2) within forty-five (45) days after the customer's\n\nfirst transaction in this state, the person files\n\nan application for registration as a broker-\n\ndealer in this state and a further transaction is\n\nnot effected more than seventy-five (75) days\n\nafter the date on which the application is filed,\n\nor, if earlier, the date on which the\n\nAdministrator notifies the person that the\n\nAdministrator has denied the application for\n\nregistration or has stayed the pendency of the\n\napplication for cause, and\n\ng. not more than three customers in this state during the\n\nprevious twelve (12) months, in addition to those\n\nspecified in subparagraphs a through f of this\n\nparagraph, if the broker-dealer is registered under\n\nthe Securities Exchange Act of 1934 or not required to\n\nbe registered under the Securities Exchange Act of\n\n1934 and is registered under the securities act of the\n\nstate in which the broker-dealer has its principal\n\nplace of business;\n\n2. A person that deals solely in United States government\n\nsecurities and is supervised as a dealer in government securities by\n\nthe Board of Governors of the Federal Reserve System, the\n\nComptroller of the Currency, the Federal Deposit Insurance\n\nCorporation, or the Office of Thrift Supervision; and\n\n3. Any other person exempted by rule or order under this act.\n\nC. It is unlawful and shall be deemed a Class C2 felony offense\n\nfor a broker-dealer, or for an issuer engaged in offering, offering\n\nto purchase, purchasing, or selling securities in this state,\n\ndirectly or indirectly, to employ or associate with an individual to\n\nengage in an activity related to securities transactions in this\n\nstate if the registration of the individual is suspended or revoked\n\nunder this act; or the individual is barred from employment or\n\nassociation with a broker-dealer, an issuer, an investment adviser\n\nor a federal covered investment adviser by an order of the\n\nsecurities regulator of a state, the Securities and Exchange\ndividual to\n\nengage in an activity related to securities transactions in this\n\nstate if the registration of the individual is suspended or revoked\n\nunder this act; or the individual is barred from employment or\n\nassociation with a broker-dealer, an issuer, an investment adviser\n\nor a federal covered investment adviser by an order of the\n\nsecurities regulator of a state, the Securities and Exchange\n\nCommission, or a self-regulatory organization. A broker-dealer or\n\nissuer does not violate this subsection if the broker-dealer or\n\nissuer did not know, and in the exercise of reasonable care could\n\nnot have known, of the suspension, revocation, or bar. Upon request\n\nfrom a broker-dealer or issuer and for good cause shown, an order\n\nunder this act may modify or waive the prohibitions of this\n\nsubsection.\n\nD. A rule adopted or order issued under this act may permit:\n\n1. A broker-dealer that is registered in Canada or other\n\nforeign jurisdiction and that does not have a place of business in\n\nthis state to effect transactions in securities with or for, or\n\nattempt to effect the purchase or sale of any securities by:\n\na. an individual from Canada or other foreign\n\njurisdiction that is temporarily present in this state\n\nand with whom the broker-dealer had a bona fide\n\ncustomer relationship before the individual entered\n\nthe United States,\n\nb. an individual from Canada or other foreign\n\njurisdiction who is present in this state and whose\n\ntransactions are in a self-directed tax advantaged\n\nretirement plan of which the individual is the holder\n\nor contributor in that foreign jurisdiction, or\n\nc. an individual who is resident in this state, with whom\n\nthe broker-dealer customer relationship arose while\n\nthe individual was temporarily or permanently resident\n\nin Canada or the other foreign jurisdiction; and\n\n2. An agent who represents a broker-dealer, that is exempt\n\nunder this subsection to effect transactions in securities or\n\nattempt to effect the purchase or sale of any securities in this\n\nstate as permitted for a broker-dealer described in paragraph 1 of\n\nthis subsection.","path":["OK Code","Title 71"],"source_url":"https://www.oklegislature.gov/OK_Statutes/CompleteTitles/os71.pdf","current_through":"2026-08-14","vintage":"open-us-law v2026.08, retrieved 2026-09-14","retrieved_at":"2026-09-14T18:32:36Z","sha256":"931c47e7eceb93531cf5ba713e3bd30b57685d8a5645b5c8fcfab662760ab000","source_id":"us-ok","stale":false,"prev":"us-ok/okla.-stat.-tit.-71-71-1-308","next":"us-ok/okla.-stat.-tit.-71-71-1-402"},"notice":"GroundRules: Original legal text. Not legal advice."}