CFTC Proposes to Allow Bankruptcy Trustees of Commodity Brokers to Operate Business in Ordinary Course

January 06, 2010
The Commodity Futures Trading Commission recently proposed amending Rule 190.04 to allow a bankruptcy trustee of a commodity broker, with the CFTC’s written permission, to continue to operate the commodity broker’s business in the ordinary course, including the purchase and sale of new commodity contracts. This update examines the proposed amendment and its implications for future bankruptcy filings by commodity brokers.