Between The TAN2000 International Regulatory Corporation (a Connecticut Benefit Corporation) and Accrediting Entity ____________________ (a _____________________________)
This memorandum of understanding is intended to convey the commitment of both organizations to the trust and accountability necessary to build a strong entrepreneurial community.
Accrediting Entity agrees that it, through its authorized representatives, are electing to become accredited because of a strong commitment to a strong entrepreneurial community. Trust is the cornerstone of the community, and the Board of Governors exist to promote the trust within the community, for the mutual benefit of everyone in the community.
Community Standards, as adopted by the Board of Governors upon recommendation from the Corporation’s Board of Directors and Senior Management Team, on behalf of the staff and leadership of the Corporation, are enforceable on all Accreditation Holders to facilitate trust and accountability. There is a mechanism that will allow a check on the power of the Board of Governors, that requires a substantial pushback by all Accreditation holders.
Accrediting Entity gets voting rights for the membership of both System and Jurisdictional Board of Governors. In consideration for these voting rights, Accrediting Entity agrees to uphold the community standards and processes adopted by the Board of Governors and enforced through the processes and programs enacted by this Corporation and its personnel. It is understood that the actions and decisions of the System Board of Governors and the Board of Governors for the Jurisdiction(s) in which the Accredited Entity has any operations are applicable to the Accredited Entity.
Accrediting Entity has 1 vote for the ________________________ for the System Board of Governors, and the Board of Governors for ______________________________. Should the Accrediting Entity operate in other jurisdictions, it is Accrediting Entity's responsibility to notify the Benefit Corporation so that this Agreement may be amended appropriately. Such voting rights are subject to meeting the Endorsement/Certification requirements in order to demonstrate the organization’s adherence to the community standards and processes, and in certain cases, regulatory requirements as required by law.
The Benefit Corporation, due to the nature of its programs and services which include services that fall under regulatory authority and statutory registration exemptions provided by state and federal laws and regulations, requires a level of impartiality to the marketplace, similar to a utility company, in order to implement the Community Standards as advanced and adopted by the Board of Governors. Therefore, this agreement is constructed to comply with conflict of interest principles generally required for the Securities industry, to enable the Benefit Corporation to carry out its purpose and mission.
This memorandum of understanding will provide the basic level of general accreditation. Within the programs, and consistent with Board of Governors’ standards, certain functions require additional endorsements. Such endorsements may be added or removed at a later date through the amendment process. Such documents shall be countersigned by an authorized representative of both organizations and shall not be effective until it is accepted by an authorized representative of both organizations.
Accrediting Entity understands that their endorsement and accreditations will be publicly reported for the purposes of developing and further building community trust in the entrepreneurial community and the Corporation’s mission of advancing a fair and consistent marketplace and ecosystem for all early stage entrepreneurs. Furthermore, Accrediting Entity understands and agrees that if criminal violations are discovered, the Corporation may be required to report such criminal activity to the appropriate regulatory authorities and Accrediting Entity understands that the Corporation cannot accept any liability for such reporting.
In consideration of this document being electronically executed, the following representative certifies, under the penalty of perjury, that:
The representative understands that electronic signature information will be collected, including proof of their use of this system, such as their IP address and other identifying information, and agrees to undertake any additional certifications that are necessary to effect this Agreement.
WARNING: Submission of a false document to TANRC for accreditation purposes will subject that individual to personal liability under the Operating Rules and Standards of The TAN2000 International Regulatory Corporation. Any intentional false statements may cause the submitter of such statements to face sanctions, up to and including a permanent ban on access to TANRC regulated marketplaces, which means that individual will not be able to be employed by any TANRC Accredited entity in any capacity. Such actions are publicly reportable through the TANRC Online Record of Sanctions.