SEC OKs FINRA's All-Public Arbitration Panel Rule

Law360, New York (February 1, 2011, 2:14 PM EST) -- The U.S. Securities and Exchange Commission on Tuesday gave the green light to a proposed rule change that will allow investors bringing claims against a company in Financial Industry Regulatory Authority arbitration to opt for an all-public arbitration panel.

FINRA originally sought clearance from the SEC in October to enact the rule change, which emerged from the self-regulatory organization's roughly two-year pilot program testing the viability of allowing investors to present their claims in front of an arbitration panel with no industry-affiliated members.

Following the SEC's...
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