Stock Exchange

Stock Exchange in the United States

Traditional Stock Exchange Definition

A building or room in which stock brokers meet to transact their business of purchasing or selling stocks. An association of stock brokers -according to the definition of Stock Exchange based on The Cyclopedic Law Dictionary– for the purpose of transacting their business. In large cities, the stock business is transacted through the medium of the members of the board of brokers.

This is an association of stock brokers governed by rules and regulations made by themselves, to which all the members are obliged to subject themselves. Admission is procured by ballot, and a member defaulting in his obligations forfeits his seat. A regular register of all the transactions is kept by an officer of the association, and questions arising between the members are generally decided by an arbitration committee. The official record of sales is the best evidence of the price of any stock on any particular day. The stocks dealt in at the sessions of the board are those which are placed on the list by a regular vote of the association; and when it is proposed to add a stock to the list, a committee is appointed to examine into the matter, and the board is generally guided by the report of such committee.  There are more definitions of Stock Exchange available in the legal Dictionaries.

Legal Materials

In the U.S., public company stock trades on several stock exchanges (a/k/a “stock markets”), including the New York Stock Exchange (NYSE Euronext), the NASDAQ and the National Stock Exchange (NSX) and the Chicago Stock Exchange (CHX). There was another big player called the American Stock Exchange (AMEX), which merged into NYSE Euronext on January 16, 2009. The formerly independent Philadelphia and Boston stock exchanges are now part of NASDAQ. But there are also significant new exchanges. As of 2011, the BATS Exchange and Direct Edge each handled about 10% of the trading volume in the U.S.

Exchange web sites provide current quotes and information about using the exchange (e.g., nyse.com, nyxdata.com, nasdaq.com, nsx.com, chx.com, directedge.com,batstrading.com). For more information about each exchange, see the New York Stock Exchange Listed Company Manual and/or the relevant CCH “Guide” (e.g., the New York Stock Exchange Guide, the NASDAQ Manual, the New York Stock Exchange Guide).

Disciplinary Decisions: Disciplinary decisions for individual exchanges are generally available on the exchange’s Web site, on the FINRA Web site, and/or on Lexis andWestlaw. Westlaw offers a combined database of decisions from the NYSE Hearing Panel, the AMEX Disciplinary Panel and the NASD National Adjudicatory Council (formerly the National Business Conduct Committee).

Foreign Exchanges: Links to foreign stock exchange Web sites are posted by Stock Exchanges Worldwide and the Rutgers University Libraries. Note: Many foreign stock exchanges have offices in the New York City; you can generally get the number from the exchange web site, or call NYC directory assistance (411 in NYC, otherwise 212-555-1212).

CCH publishes Guides for the Canadian exchanges, the China exchange and probably others.

Over-the-Counter Stocks

“Over-the-Counter” stocks are company shares not listed on any exchange and, hence, traded only “over-the-counter.” In fact, in the U.S., the big OTC stocks are generally traded on the National Association of Securities Dealers Automated Quotations System (NASDAQ). Quotes for these shares are available in the NASDAQ Stock Quotes database.

For more information about Over-the-Counter Stocks, click here.

Stock Exchange Rules

U.S. stock exchange rules are usually posted free (e.g., NASDAQ, CSX, NSX, Direct Edge, BATS, and the NYSE Listed Company Manual).

Stock exchange rules can be found on the relevant exchange’s web site and in the CCH “Guide” (ex., the New York Stock Exchange Guide) or “Manual” (e.g., the NASDAQ Manual) for that exchange, which are available as looseleafs or on CCH’s subscription-based Intelliconnect. For more legal materials about Stock Exchange Rules, click here.

Stock Exchange in Foreign Legal Encyclopedias

For starting research in the law of a foreign country:

Link Description
Stock Exchange Stock Exchange in the World Legal Encyclopedia.
Stock Exchange Stock Exchange in the European Legal Encyclopedia.
Stock Exchange Stock Exchange in the Asian Legal Encyclopedia.
Stock Exchange Stock Exchange in the UK Legal Encyclopedia.
Stock Exchange Stock Exchange in the Australian Legal Encyclopedia.

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See Also

  • Federal Reserve System
  • NASDAQ
  • Stock Exchange Rules
  • Stock Prices
  • Stock Swaps
  • CUSIP Numbers
  • Listing Applications
  • New York Stock Exchange
  • Stock Exchange Rules
  • Stock Splits

Stock Exchange: Open and Free Legal Research of US Law

Federal Primary Materials

The U.S. federal government system consists of executive, legislative, and judicial branches, each of which creates information that can be the subject of legal research about Stock Exchange. This part provides references, in relation to Stock Exchange, to the legislative process, the federal judiciary, and the primary sources of federal law (cases, statutes, and regulations).

Federal primary materials about Stock Exchange by content types:

Laws and Regulations

US Constitution
Federal Statutory Codes and Legislation

Federal Case Law and Court Materials

U.S. Courts of Appeals
United States courts of appeals, inclouding bankruptcy courts and bankcruptcy appellate panels:

Federal Administrative Materials and Resources

Presidential Materials

Materials that emanate from the President’s lawmaking function include executive orders for officers in departments and agencies and proclamations for announcing ceremonial or commemorative policies. Presidential materials available include:

Executive Materials

Federal Legislative History Materials

Legislative history traces the legislative process of a particular bill (about Stock Exchange and other subjects) for the main purpose of determining the legislators’ intent behind the enactment of a law to explain or clarify ambiguities in the language or the perceived meaning of that law (about Stock Exchange or other topics), or locating the current status of a bill and monitoring its progress.

State Administrative Materials and Resources

State regulations are rules and procedures promulgated by state agencies (which may apply to Stock Exchange and other topics); they are a binding source of law. In addition to promulgating regulations, state administrative boards and agencies often have judicial or quasi-judicial authority and may issue administrative decisions affecting Stock Exchange. Finding these decisions can be challenging. In many cases, researchers about Stock Exchange should check state agency web sites for their regulations, decisions, forms, and other information of interest.

State rules and regulations are found in codes of regulations and administrative codes (official compilation of all rules and regulations, organized by subject matter). Search here:

State opinions of the Attorney General (official written advisory opinions on issues of state law related to Stock Exchange when formerly requested by a designated government officer):

Tools and Forms

Law in Other Regions

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