17 CFR 160.4 - Initial privacy notice to consumers required.
(a)Initial notice requirement. You must provide a clear and conspicuous notice that accurately reflects your privacy policies and practices to:
(2)Consumer. A consumer, before you disclose any nonpublic personal information about the consumer to any nonaffiliated third party, if you make such a disclosure other than as authorized by §§ 160.14 and 160.15.
(b)When initial notice to a consumer is not required. You are not required to provide an initial notice to a consumer under paragraph (a) of this section if:
(2) You do not have a customer relationship with the consumer.
(c)When you establish a customer relationship -
(2)Examples of establishing customer relationship. You establish a customer relationship when the consumer:
(i) Instructs you to execute a commodity interest transaction for the consumer;
(ii) Opens a retail forex account, or opens a commodity interest account through an introducing broker or with a futures commission merchant that clears transactions for its customers through you on a fully-disclosed basis;
(iv) Enters into an advisory contract or subscription with you, whether in writing or orally, and whether you provide standardized, or individually tailored commodity trading advice based on the customer's commodity interest or cash market positions or other circumstances or characteristics, if you are a commodity trading adviser; or
(d)Existing customers. When an existing customer obtains a new financial product or service from you that is to be used primarily for personal, family or household purposes, you satisfy the initial notice requirements of paragraph (a) of this section as follows:
(2) If the initial, revised or annual notice that you most recently provided to that customer was accurate with respect to the new financial product or service, you do not need to provide a new privacy notice under paragraph (a) of this section.
(e)Exceptions to allow subsequent delivery of notice.
(iv) You have established a customer relationship with a customer in a bulk transfer in accordance with § 1.65, if you are a transferee futures commission merchant, retail foreign exchange dealer or introducing broker.
(2)Examples of exceptions -
(i)Not at customer's election. Establishing a customer relationship is not at the customer's election if you acquire the customer's commodity interest account from another financial institution and the customer does not have a choice about your acquisition.
(ii)Substantial delay of customer's transaction. Providing notice not later than when you establish a customer relationship would substantially delay the customer's transaction when you and the individual agree over the telephone to enter into a customer relationship involving prompt delivery of the financial product or service.
(iii)No substantial delay of customer's transaction. Providing notice not later than when you establish a customer relationship would not substantially delay the customer's transaction when the relationship is initiated in person at your office or through other means by which the customer may view the notice, such as on a web site.
(f)Delivery of notice. When you are required by this section to deliver an initial privacy notice, you must deliver it according to the provisions of § 160.9. If you use a short-form initial notice for non-customers according to § 160.6(d), you may deliver your privacy notice as provided in section § 160.6(d)(3).
Title 17 published on 09-May-2017 03:50
The following are ALL rules, proposed rules, and notices (chronologically) published in the Federal Register relating to 17 CFR Part 160 after this date.
- 17 CFR 160.8 — Revised Privacy Notices.
- 17 CFR 160.18 — Effective Date; Compliance Date; Transition Rule.
- 17 CFR 160.10 — Limits on Disclosure of Nonpublic Personal Information to Nonaffiliated Third Parties.
- 17 CFR 160.13 — Exception to Opt Out Requirements for Service Providers and Joint Marketing.
- 17 CFR 160.7 — Form of Opt Out Notice to Consumers; Opt Out Methods.
- 17 CFR 160.6 — Information to Be Included in Privacy Notices.
- 17 CFR 160.15 — Other Exceptions to Notice and Opt Out Requirements.
- 17 CFR 160.9 — Delivering Privacy and Opt Out Notices.
- 17 CFR 160.14 — Exceptions to Notice and Opt Out Requirements for Processing and Servicing Transactions.