Industry

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May 1, 2014

Requirement to make OBSI available to clients


Amendments are now in force
Amendments to National Instrument 31-103 Registration requirements, exemptions and ongoing registrant obligations relating to the provision of independent dispute resolution services are now in force.

Outside Québec, all registered dealers and advisers must take reasonable steps to ensure that the Ombudsman for Banking Services and Investments (OBSI) will be the independent dispute resolution service that is made available to a client that has an eligible complaint.

Transition
Firms that are already registrants will have the benefit of transition periods ending August 1, 2014. All registered dealers and registered advisers should join OBSI as “Participating Firms” by August 2, 2014. There is no transition period available for firms registering after April 30, 2014.

For more information about becoming an OBSI Participating Firm, please click https://www.obsi.ca/en/resource-room/resources-for-firms to access the Membership Kit OBSI has developed for new participating firms or contact Mr. Tyler Fleming, Director, Stakeholder Relations and Communications at 416-218-4244 or by email at Tfleming@obsi.ca.

Client communication
Firms must inform their clients in writing about their obligations to resolve client complaints, and the steps a client must take to make use of OBSI’s services. For firms that are members of the Investment Industry Regulatory Organization of Canada or the Mutual Fund Dealers Association of Canada, they have prescribed under their member requirements, specific documents for these purposes.

We have published guidance, and a sample of a client disclosure document, to assist registered firms that are not members of these self-regulatory organizations to prepare client disclosure that meets their obligations under the amendments. You can access these documents by clicking the links below.

Guidance and sample communication