17-12a405.   Federal covered investment adviser noticefiling requirement.(a) Notice filing requirement. Except withrespect to a federal covered investment adviser described insubsection (b), it is unlawful for a federal covered investmentadviser to transact business in this state as a federal coveredinvestment adviser unless the federal covered investment advisercomplies with subsection (c).

      (b)   Notice filing requirement not required. The followingfederal covered investment advisers are not required to comply withsubsection (c):

      (1)   A federal covered investment adviser without a place ofbusiness in this state if its only clients in this state are:

      (A)   Federal covered investment advisers, investment advisersregistered under this act, and broker-dealers registered under thisact;

      (B)   institutional investors;

      (C)   bona fide preexisting clients whose principal places ofresidence are not in this state; or

      (D)   other clients specified by rule adopted or order issuedunder this act;

      (2)   a federal covered investment adviser without a place ofbusiness in this state if it has had, during the preceding 12months, not more than five clients that are resident in this statein addition to those specified under paragraph (1); and

      (3)   any other person excluded by rule adopted or order issuedunder this act.

      (c)   Notice filing procedure. A person acting as a federalcovered investment adviser, not excluded under subsection (b), shallfile a notice, a consent to service of process complying withK.S.A. 17-12a611, and amendments thereto, and such records as havebeenfiled with the securities and exchange commission under theinvestment advisers act of 1940 required by rule adopted or order issued underthis act and pay the fees specified in K.S.A. 17-12a410(a)(5), andamendments thereto.

      (d)   Effectiveness of filing. The notice under subsection (c)becomes effective upon its filing, and shall expire on December 31each year, unless renewed.

      History:   L. 2004, ch. 154, § 22;L. 2006, ch. 47, § 4; July 1.