In a state-administrator case study, the scenario starts here. The key is the registration, exemption, or ethical rule doing the real work. An investment adviser receives notice that the Administrator intends to revoke its registration. The adviser requests a hearing. At the hearing, the Administrator introduces evidence that the adviser misappropriated client funds. The adviser denies the allegations. After the hearing, the Administrator revokes the registration. The adviser's next course of action would be to:

Why C — File for judicial review in the appropriate state court within the time allowed by state law

Under USA Section 411, a person aggrieved by a final order of the Administrator may seek judicial review by filing an action in the appropriate state court. The court reviews the record to determine whether the Administrator's findings were supported by evidence and the order was lawful. There is no appeal to the SEC or NASAA from a state administrative order. This version tests the same concept with a different fact pattern wrapper.