CFTC Swap Transaction Compliance and Implementation Schedule: Clearing Requirement under Section 2(h) of the CEA; Final Rule (Final Fed. Reg. Version)

The CFTC is adopting regulations to establish a schedule to phase in compliance with the clearing requirement under new section 2(h)(1)(A) of the Commodity Exchange Act, enacted under Title VII of the Dodd-Frank Act. This is the Federal Register version of the proposal that we described on July 24.

To see the description that we published on July 24, link here.

Effective Date: September 28, 2012. Note that this is not the date on which central clearing is required. Rather, according to the rule, effective as of such date, a swap between two dealers would be required to be cleared not later than 90 days after the publication of the relevant clearing requirement in the Federal Register. For other market participants, the clearing requirements would be phased in at 180 days and 270 days after such publication.

Cross Reference(s): Dodd-Frank Title VII; Commodity Exchange Act Section 2(h)(1)(A); CFTC New Part 50, Rule 50.25.

View rule release in full here(links externally to CFTC website).