3rd Circ. Lets SEC Ruling On PHLX Bylaw Stand

Law360, New York (February 24, 2011, 7:57 PM EST) -- The Third Circuit declined Thursday to review a U.S. Securities and Exchange Commission decision to dismiss a Pennsylvania brokerage house’s challenge of a Philadelphia Stock Exchange Inc. fee-shifting bylaw.

Equity trader PennMont Securities filed the appeal after the SEC nixed its request to review disciplinary sanctions brought against the trader under PHLX Rule 651 over $925,612 in unpaid legal fees arising from a separate lawsuit.

PHLX Rule 651 stipulates that any PHLX member that sues the stock exchange and fails to prevail must pay its legal...
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