Application for Clearing Membership

Any Person desiring to become a Clearing Member shall execute a Clearing Member Agreement and submit an application in such form as shall be prescribed by the Clearinghouse, which shall include a certification that the applicant has received, reviewed and agrees to abide by the Rules and perform the duties and responsibilities of a Clearing Member.

Only Persons found to meet the qualifications set forth in Rule 803 will be permitted to be Clearing Members. For the purpose of determining whether any applicant or Clearing Member is so qualified, the Clearinghouse may examine the books and records of any applicant or Clearing Member and may take such other steps as it may deem necessary to assess the qualifications of an applicant or Clearing Member. An applicant for Clearing Member status shall be conclusively deemed to have agreed to have no recourse against the Clearinghouse in the event that its application to become a Clearing Member is rejected.

An applicant that fails to be approved for membership shall be informed by the Clearinghouse and shall have five (5) Business Days thereafter to file an appeal to the Board of the Clearinghouse seeking further consideration. The Board of the Clearinghouse may approve the applicant by a majority vote if it determines that the decision to deny the application was in error.