The Investment Industry Regulatory Organization of Canada (IIROC) is seeking public comments on its arbitration progam.

On Wednesday, the regulator issued its Rules Notice Request for Comments Review of IIROC Arbitration Program.

Investor access to a straightforward, expeditious dispute resolution system to address disputes with investment dealers fosters confidence in capital markets and the financial services industry, IIROC says.

There are currently a number of recourses available to investors to address disputes with IIROC-regulated firms, including the IIROC arbitration program.

Dealer Member Rule 37.1 has been in place since 1996 and requires dealer members to participate in an arbitration program that has been approved by the IIROC board of directors.

Commencing in the fall of 2008, IIROC undertook a comprehensive review and evaluation of the arbitration program. The results are discussed in the notice released Wednesday.

IIROC invites public comment on the matters raised in the notice and, particularly, the following:

• the benefits of arbitration and the viability of the program;

• the experience of parties to arbitration cases under the program and suggestions to improve effectiveness and utilization of the program; and

• IIROC’s proposal to increase the award limit under the program from the current limit of $100,000.

Comments will be accepted until March 16, 2010. Comments will be posted on the IIROC website.

Comment letters may be addressed to:

Rosemary Chan
Senior Vice President and General Counsel
Investment Industry Regulatory Organization of Canada
121 King Street West, Suite 1600
Toronto, Ontario M5H 3T9

IE