Form U5 (Uniform Termination Notice)
Form U5 is the form filed when a registered representative leaves a FINRA member firm, documenting the reason for termination and any disclosure events that must be reported.
Exam Tip
U5 = termination notice. Filed within 30 DAYS. Reason for leaving is PERMANENT record. Individual can add comments to dispute.
What is Form U5?
Form U5 (Uniform Termination Notice for Securities Industry Registration) is filed when an individual's association with a broker-dealer ends. It documents the departure and becomes part of the person's permanent record on BrokerCheck.
U5 Key Information
| Section | Details |
|---|---|
| Termination Date | Last day of registration |
| Reason for Termination | Voluntary, discharged, permitted to resign, etc. |
| Disclosure Information | Any reportable events |
| Internal Review | Whether under review at termination |
Termination Reasons
| Code | Meaning | Impact |
|---|---|---|
| Voluntary | Resigned by choice | Neutral |
| Discharged | Fired by firm | Negativeāmust explain |
| Permitted to Resign | Given option to resign vs. termination | Often negative |
| Deceased | Death | N/A |
| Other | Various circumstances | Depends on details |
Filing Deadlines
| Situation | Deadline |
|---|---|
| Regular Termination | Within 30 days |
| Reportable Event | Immediately (no later than 30 days) |
Disclosure Events on U5
Same categories as U4:
- Criminal matters
- Regulatory actions
- Civil/judicial matters
- Customer complaints
- Internal reviews
- Financial disclosures
Rights After U5 Filing
| Right | Description |
|---|---|
| Review Copy | Must receive copy within 30 days |
| Comment | Can add statement to CRD record |
| Dispute | Can dispute inaccurate information |
| Expungement | May seek removal of false claims |
U5 and Future Employment
| Scenario | Impact |
|---|---|
| Clean U5 | Easy transition to new firm |
| Discharged | New firm will investigate reason |
| Under Review | May create hiring hesitation |
| Customer Complaints | Stays on record permanently |
Study This Term In
Related Terms
Form U4 (Uniform Application for Securities Industry Registration)
SecuritiesForm U4 is the registration form that individuals must complete to become associated with a FINRA member firm and obtain required securities licenses, including personal, employment, and disclosure history.
FINRA
GeneralFINRA (Financial Industry Regulatory Authority) is a self-regulatory organization that oversees broker-dealers and their registered representatives, administering qualification exams and enforcing securities rules.
Broker-Dealer
GeneralA broker-dealer is a financial firm that buys and sells securities for its customers (broker) and for its own account (dealer), regulated by FINRA and the SEC.