Except where otherwise provided by law or regulation, a securities firm may enter into a brokerage contract with a principal for trading of foreign securities. If any of the following circumstances exists, the securities firm shall not accept the opening of an account by a principal, and if an account has been opened, such account shall be cancelled:
- The party is a minor acting without the representation of a statutory agent
- The party has been adjudged bankrupt and not reinstated.
- The party has been declared by a court to be under guardianship, where such declaration has not yet been voided.
- The party has been declared by a court to be under assistance, and the consent of the assistant or permission of the court has not been given.
- The party has been authorized by a juristic person to open an account, but is unable to produce a power of attorney from such juristic person authorizing the account opening.
- The party has a record of breaching a securities trading contract, and the case has not been settled while less than 5 years have passed.
- The party has been sentenced under the Securities and Exchange Act to a penalty of equal or greater severity to the imposition of a criminal fine, and 3 years have not elapsed since the completion of sentence execution, the expiration of suspension of sentence, or the pardon of such punishment.