A bill to amend title 11 of the United States Code, the bankruptcy code, regarding swap agreements.
Amends Federal bankruptcy law to modify the definitions of forward contract and forward contract merchant to conform with the definition of "commodity" included in the Commodity Exchange Act and to define: (1) swap agreement; (2) swap participant; (3) margin payment; and (4) settlement payment.
Exempts various transactions in connection with currency swap agreements from the automatic stay triggered by the filing of a bankruptcy petition.
Prohibits the trustee in bankruptcy from avoiding any transfer made under a swap agreement before commencement of the bankruptcy case or any setoff in connection with a swap agreement if the offset is made within 90 days prior to the bankruptcy filing.
Provides that a forward contractor's rights whether in writing or not, arising under common law, under merchant law, or by reason of normal business practice cannot be stayed, avoided, or otherwise limited because of the insolvency or bankruptcy of the other party to the contract.
Provides that the contractual right of a nonbankrupt party to a swap agreement to terminate the agreement shall not be stayed or otherwise limited under Federal bankruptcy law or by related judicial or administrative proceedings.
Became Public Law No: 101-311.
Introduced in Senate
Read twice and referred to the Committee on Judiciary.
Referred to Subcommittee on Courts and Administrative Practice.
Subcommittee on Courts and Administrative Practice. Hearings held. Hearings printed: S.Hrg. 101-406.
Subcommittee on Courts and Administrative Practice. Approved for full committee consideration with an amendment in the nature of a substitute favorably.
Committee on Judiciary. Ordered to be reported with an amendment in the nature of a substitute favorably.
Committee on Judiciary. Reported to Senate by Senator Biden with an amendment in the nature of a substitute and an amendment to the title. With written report No. 101-285.
Committee on Judiciary. Reported to Senate by Senator Biden with an amendment in the nature of a substitute and an amendment to the title. With written report No. 101-285.
Placed on Senate Legislative Calendar under General Orders. Calendar No. 542.
Passed/agreed to in Senate: Passed Senate with an amendment and an amendment to the Title by Voice Vote.
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Passed Senate with an amendment and an amendment to the Title by Voice Vote.
Received in the House.
Held at the desk.
Message on Senate action sent to the House.