{"identifier":"/us/usc/t7/s24","title":7,"num":"\u00a7\u202f24.","heading":"Customer property with respect to commodity broker debtors; definitions","text":"\u00a7\u202f24.\nCustomer property with respect to commodity broker debtors; definitions\n(a)\nRegulations respecting commodity broker debtors\nNotwithstanding title 11, the Commission may provide, with respect to a commodity broker that is a debtor under chapter 7 of title 11, by rule or regulation\u2014\n(1) that certain cash, securities, other property, or commodity contracts are to be included in or excluded from customer property or member property;\n(2) that certain cash, securities, other property, or commodity contracts are to be specifically identifiable to a particular customer in a specific capacity;\n(3) the method by which the business of such commodity broker is to be conducted or liquidated after the date of the filing of the petition under such chapter, including the payment and allocation of margin with respect to commodity contracts not specifically identifiable to a particular customer pending their orderly liquidation;\n(4) any persons to which customer property and commodity contracts may be transferred under\nsection 766 of title 11\n(5) how the net equity of a customer is to be determined.\n(b)\nDefinitions\nAs used in this section, the terms \u201ccommodity broker\u201d, \u201ccommodity contract\u201d, \u201ccustomer\u201d, \u201ccustomer property\u201d, \u201cmember property\u201d, \u201cnet equity\u201d, and \u201csecurity\u201d have the meanings assigned such terms for the purposes of subchapter IV of chapter 7 of title 11.\n(c)\nPortfolio margining accounts\nThe Commission shall exercise its authority to ensure that securities held in a portfolio margining account carried as a futures account are customer property and the owners of those accounts are customers for the purposes of subchapter IV of chapter 7 of title 11.","url":"https://projectusc.org/usc/t7/s24.html","content":[{"t":"sec","id":"/us/usc/t7/s24","children":[{"t":"num","text":"\u00a7\u202f24."},{"t":"heading","text":"Customer property with respect to commodity broker debtors; definitions"},{"t":"subsec","id":"/us/usc/t7/s24/a","children":[{"t":"num","text":"(a)"},{"t":"heading","text":"Regulations respecting commodity broker debtors"},{"t":"chapeau","text":"Notwithstanding title 11, the Commission may provide, with respect to a commodity broker that is a debtor under chapter 7 of title 11, by rule or regulation\u2014"},{"t":"para","id":"/us/usc/t7/s24/a/1","children":[{"t":"num","text":"(1)"},{"t":"content","text":" that certain cash, securities, other property, or commodity contracts are to be included in or excluded from customer property or member property;","tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s24/a/2","children":[{"t":"num","text":"(2)"},{"t":"content","text":" that certain cash, securities, other property, or commodity contracts are to be specifically identifiable to a particular customer in a specific capacity;","tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s24/a/3","children":[{"t":"num","text":"(3)"},{"t":"content","text":" the method by which the business of such commodity broker is to be conducted or liquidated after the date of the filing of the petition under such chapter, including the payment and allocation of margin with respect to commodity contracts not specifically identifiable to a particular customer pending their orderly liquidation;","tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s24/a/4","children":[{"t":"num","text":"(4)"},{"t":"content","text":" any persons to which customer property and commodity contracts may be transferred under ","children":[{"t":"ref","text":"section 766 of title 11","href":"/us/usc/t11/s766","tail":"; and"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t7/s24/a/5","children":[{"t":"num","text":"(5)"},{"t":"content","text":" how the net equity of a customer is to be determined.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s24/b","children":[{"t":"num","text":"(b)"},{"t":"heading","text":"Definitions"},{"t":"content","children":[{"t":"p","text":"As used in this section, the terms \u201ccommodity broker\u201d, \u201ccommodity contract\u201d, \u201ccustomer\u201d, \u201ccustomer property\u201d, \u201cmember property\u201d, \u201cnet equity\u201d, and \u201csecurity\u201d have the meanings assigned such terms for the purposes of subchapter IV of chapter 7 of title 11.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t7/s24/c","children":[{"t":"num","text":"(c)"},{"t":"heading","text":"Portfolio margining accounts"},{"t":"content","children":[{"t":"p","text":"The Commission shall exercise its authority to ensure that securities held in a portfolio margining account carried as a futures account are customer property and the owners of those accounts are customers for the purposes of subchapter IV of chapter 7 of title 11.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}