Question

Each of the following activities would require prior written notification by an associated person to the employing broker-dealer except?

1) acting as a real estate sales agent, limited to the sales of individual homes only.
2) offering to sell a limited partnership interest in an oil and gas drilling program.
3) becoming a limited partner in an oil and gas drilling program.
4) part-time work parking cars on the weekend at a local racetrack.

Answer 1

Part-time work parking cars on the weekend at a local racetrack likely does not require prior written notification to the employing broker-dealer, as it does not pose a significant conflict of interest.

Step-by-step explanation:

In the context of a broker-dealer environment, associated persons are typically required to provide prior written notification for any outside business activity that might raise a conflict of interest with their employer.

The examples provided such as handling paperwork, completing training, parking arrangements, security protocols, and adhering to the company dress code, are typically considered standard onboarding processes for new employees.

However, when we consider part-time work, like parking cars on the weekend at a local racetrack, this does not fall under the usual stipulations of employment onboarding and likely does not require prior written notification to the employing broker-dealer, as it is generally a separate and distinct activity with low potential for conflicts of interest.