The Reject <3> message should be issued when a message is received butcannot be passed through to the application level. An example of when a reject may be appropriate would be the receipt of a message with invalid basic data (e.g. MsgType <35>=&) which successfully passes de-encryption, CheckSum <10> and BodyLength <9> checks. As a rule, messages should be forwarded to the trading application for business level rejections whenever possible.
Rejected messages should be logged and the incoming sequence number incremented.
Note: The receiving application should disregbard any message that is garbled, cannot be parsed or fails a data integrity check.. Processing of the next valid FIX message will cause detection of a sequence gap and a Resend Request <2> will be generated. Logic should be included in the FIX engine to recognize the possible infinite resend loop which may be encountered in this situation.
Generation and receipt of a Reject <3> message indicates a serious error that may be the result of faulty logic in either the sending or receiving application.
If the sending application chooses to retransmit the rejected message, it should be assigned a new sequence number.
Whenever possible, it is strongly recommended that the cause of the failure be described in the Text <58> field (e.g. INVALID DATA - FIELD 35).
The '^' character is used to represent SOH character.