HR 7187
Advanced toward a vote
Exempts certain personal services entities owned by registered representatives from the definition of a broker when they receive compensation on a representative's behalf under specified conditions.
Official title: Clarity for Compensation Act
Timeline each lane is a chamber; dates pull from congress.gov actions
House
Introduced
21-JAN-2026
Referred
21-JAN-2026
Approved by committee
30-JUN-2026
Reported
01-SEP-2026
On the calendar
01-SEP-2026
- Excludes a personal services entity from the broker definition when it only receives compensation for a registered representative, at the broker's direction.
- Requires a written agreement between the broker and the entity, and requires the broker to supervise the representative and the entity and keep records of payments.
- Limits ownership of the entity to the representative or, for individuals, their immediate family members, and bars the entity from holding itself out as a broker.
- Requires the entity to keep records available to the SEC and self-regulatory organizations, and to submit to dispute resolution forums for enforcement of customer awards. Takes effect 180 days after enactment.
Covers an older version. The newest CRS summary describes the bill as of "Introduced in House" (21-JAN-2026); the text has changed since (Reported in House, 01-SEP-2026).
CRS is the Library of Congress's nonpartisan research office. Read it on congress.gov- Financial Services Committee (House)
Finance and Financial Sector
■ 8 R■ 4 D
8 Republicans