SIE Overview of the Regulatory Framework Practice Question 13

Correct Answer: A

Explanation:

A: Choice A is correct because a person signing a U4 must be informed that, by signing the U4, the person is giving up certain rights to take disputes to court. Choices B, C, and D are incorrect because FINRA Rule 2263 – Arbitration Disclosure to Associated Persons Signing or Acknowledging Form U4 requires that the person signing a U4 filing must be informed that arbitration will be the only method used for resolving any disputes that might, in other circumstances, be settled in a court.