15 U.S.C. § 78c–2 — Securities-related derivatives

submitted 92 years ago by Pub. L. 111-203 to r/title-15-COMMERCE-AND-TRADE · 152 words · no verdicts yet

in plain englishAI-generated · not legal advice

The CFTC can exempt certain contracts from its own rules but let the SEC share jurisdiction over them. When it does, this law treats those contracts as securities. Buying or selling one includes ending, transferring, or exchanging it.

(a) The Commodity Futures Trading Commission can exempt certain agreements, contracts, or transactions — or whole classes of them — from its own rules under section 6(c)(1) of title 7. Sometimes it does this on the condition that the Commission (the SEC) also gets to regulate them at the same time. When that happens, this law treats those agreements, contracts, or transactions as "securities" for purposes of the securities laws. (b) For those same CFTC-exempted, SEC-shared agreements, contracts, or transactions, whenever the securities laws refer to "purchasing" or "selling" a security, that includes executing the deal, ending it early before its scheduled end date, assigning it, exchanging it, transferring or conveying it in a similar way, or wiping out rights or duties under it — whichever fits the situation.

the actual law source: uscode.house.gov ↗public domain

(a)

Any agreement, contract, or transaction (or class thereof) that is exempted by the Commodity Futures Trading Commission pursuant to section 6(c)(1) of title 7 with the condition that the Commission exercise concurrent jurisdiction over such agreement, contract, or transaction (or class thereof) shall be deemed a security for purposes of the securities laws.

(b)

With respect to any agreement, contract, or transaction (or class thereof) that is exempted by the Commodity Futures Trading Commission pursuant to section 6(c)(1) of title 7 with the condition that the Commission exercise concurrent jurisdiction over such agreement, contract, or transaction (or class thereof), references in the securities laws to the “purchase” or “sale” of a security shall be deemed to include the execution, termination (prior to its scheduled maturity date), assignment, exchange, or similar transfer or conveyance of, or extinguishing of rights or obligations under such agreement, contract, or transaction, as the context may require.

Source credit: (June 6, 1934, ch. 404, title I, § 3B, as added Pub. L. 111–203, title VII, § 717(b), July 21, 2010, 124 Stat. 1651.)

history & why it existsrecord from the source credit

1934Enacted · Pub. L. 111-203 · 124 Stat. 1651

A history note hasn’t been published yet. The record shows enactment by Pub. L. 111-203 on 1934-06-06.

all 0 arguments · sorted by: best

no arguments yet — make the first case