Our Finance Group helps clients navigate the business and legal complexities of novel and multidimensional debt financing transactions. We fully understand the challenges faced by borrowers, investors and lenders throughout a company’s lifecycle, from evolving techniques in acquisition finance to the tensions inherent in distressed situations. We are the firm of choice for the most innovative and complex financing matters, including bespoke structured financings and whole-business securitizations of novel assets and restructurings of multibillion-dollar companies.
CFTC, SEC Propose to Delay the Applicability of Certain Swap Provisions of the Dodd-Frank Act
June 17, 2011
The general effective date for most provisions under Title VII of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (the "Dodd-Frank Act") that do not require rulemaking is July 16, 2011. As this date approaches, and many final rulemakings by the Commodity Futures Trading Commission ("CFTC") and the Securities and Exchange Commission ("SEC") will not be in place as of July 16, 2011, market participants have become increasingly concerned with the legal uncertainty created by the effectiveness of a new regulatory regime without finalized rules and regulations. To address these concerns, and to avoid undue disruptions of the swaps markets during the transition to a new regulatory framework, the CFTC and the SEC, on June 14 and June 15, 2011, respectively, issued temporary exemptive relief to swap market participants from various requirements under the Commodity Exchange Act (the "CEA") and the Securities Exchange Act of 1934 (the "Exchange Act"), as amended by the Dodd-Frank Act, that would otherwise apply to certain swap and security-based swap transactions as a result of the Dodd-Frank Act generally becoming effective on July 16, 2011.