Freedom Investments is also going through its annual FINRA regulatory examination.

• FINRA is looking closely at Freedom's AML program.
• FINRA is also reviewing Freedom's compliance with the rules and regulations relating to its reporting requirements and its overall operations, including technology and vendor management.
• During its review, FINRA learned that the Firm has hired a third party vendor to handle processing and delivery of confirmations and prospectuses, processing of client disbursements, and other related work.
• In selecting the vendor, Freedom relied upon the good reputation of the vendor and entered into a contract for services.
• However, given the vendor's experience in handling these types of responsibilities, Freedom didn't undertake any additional steps to ensure the vendor was complying with the contract.
• Unbeknownst to Freedom, the vendor experienced a system glitch that resulted in a failure to deliver over 25,000 confirms and prospectuses during a one-year period.
• It turns out that the vendor had upgraded its software to include additional functions, but during the upgrade the vendor inadvertently shut off a feed of transaction related information from Freedom Investments.
• Freedom did not have a report that alerted them to the fact that the feed was not working.

The vendor is also currently investigating a potential data breach by the former girlfriend of an employee of the vendor who handles a number of operational functions on behalf of Freedom Investments.

• The former girlfriend stole the employee's password and accessed data on Freedom Investments' clients, including account numbers and financial information
• The vendor has recently alerted Freedom Investments to these issues.

One of Freedom Investments' clients has complained about his execution price on the sale of Dresla stock and has asked for information relating to the Exchange on which the trades were executed, including any potential conflicts of interest. Freedom Investments is looking at its processing of the order and the price received in order to respond to the client.

Based on the details provided above, please answer the following questions.

1. What are Freedom Investments' obligations relating to the execution price of an order? In your response, please include any requirements under any applicable rules.
2. What are Freedom Investments' potential conflicts relating to its order routing practices?