Not all actions taken by the state administrator against the registration status of certain persons are punishments. Two important registration actions are non-punitive:
A withdrawal is a request submitted by a registered person who wants to voluntarily end their registration.
These are the forms used to withdraw registration:
| Form | Use |
|---|---|
| Form BDW | Broker-dealer withdrawal form |
| Form ADV-W | Investment adviser registration withdrawal form |
| Form U5 | Agent & IAR registration termination form |
A cancellation happens when the registered person can’t voluntarily submit the appropriate withdrawal form, so the state administrator cancels the registration.
The most common reasons include:
In these situations, the administrator proactively updates the person’s registration status.
Cancellation can also occur when the administrator can’t contact the registered person. For example, the administrator might send a letter that is returned because the person no longer lives at the address on file. Because a change of address normally requires prompt disclosure, the administrator may cancel the person’s registration until the issue is resolved.
Even after a person’s registration has been withdrawn or canceled, the administrator retains jurisdiction over that person for one year. The Uniform Securities Act (USA) states:
The administrator may institute a revocation or suspension proceeding… within one year after the withdrawal became effective.
This matters because withdrawals and cancellations are non-punitive. Even though the registration is no longer active, the administrator can still bring a suspension or revocation action during that one-year window. A suspension or revocation can make it harder to re-register in the future and would appear on the person’s permanent public record.
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