While the exact wording of the overly broad confidentiality or confidentiality provisions may vary, these inadmissible provisions are intended to prevent clients or others from transmitting, restricting or deterring, upon request, the terms of settlement or the underlying facts of the litigation to NASD or other securities supervisory authorities from disclosing the terms of transaction or the underlying facts of the litigation. Of the member companies surveyed from June to August 1995, 61% used transaction agreements with clients that contain confidentiality or confidentiality clauses that prohibited the client from disclosing, upon request, the terms of transaction (and the underlying facts of the litigation) to the NASD or other securities supervisory authority. Some clauses required a court order, subpoena or similar condition before authorizing disclosure to a Financial Markets Authority. Other problematic transaction agreements contain a language that requires customers or other billing partners to notify the member company before providing information to NASD or any other on-demand regulator or before providing information on billing conditions before NASD or other regulatory authorities. Here too, such a language has the potential to prevent customers or other billing parties from cooperating with NASD and other regulators. These prohibitive confidentiality clauses continue to be used by some members, although previous members of the NASD communication warn that they will no longer be used. Communications to members 86-36 (May 1986) and the NASD regulatory and compliance alert (June 1994 and July 1995) were among the warnings. For example, communication to members 86-36 warned members against “executing agreements that may prevent any client or other party from providing information, documents or testimony, or otherwise cooperating with the NASD in its investigations of allegations of infringement.” This communication is intended to remind members that the application of certain provisions in transaction agreements with clients or others that may obstruct or obstruct NASD investigations and the continuation of NASD enforcement actions are contrary to NASD Rule 2110, which requires members to adhere to high standards of economic honour and fair and equitable business principles in the conduct of their business activities.