The Commodity End-User Relief Act fixes a number of serious problems including the difficulty of utilities' search for swap counterparties; the need to trade-report illiquid positions; and One provision that could be interpreted as increasing risk is the treatment of residual interest, but the relevant provision will lower the costs of operating as an FCM materially (which is a very good thing considering the number of FCMs that have gone out of business since Dodd-Frank).…

Recordkeeping requirements are a major expense for many firms, and the records themselves are often difficult to maintain. Firms should scrutinize these CFTC amendments closely. In light of the CFTC's update of the recordkeeping requirements, the SEC and other regulators might want to revisit their own.

OCIE's intention to enhance oversight of FINRA is most interesting. FINRA has been aggressive in sanctioning firms in the past. Perhaps FINRA's increasing significance is the reason, since it has taken over the regulatory examination role for virtually all of the securities exchanges.

The formation of contracts with respect to securities is governed by state law and not by federal securities law (although contracts that violate securities laws may be void). The decision in this case bodes well for market stability, since it lessens participants' uncertainty about the conditions under which a party may renege on an agreed-upon trade.