Regulatory Alerts2013-08-23 | 2013-20617Commodity Futures Trading Commission Clarification of Interpretation Regarding Actual Delivery Under the Commodity Exchange Act
The Commodity Futures Trading Commission clarifies its interpretation of the term 'actual delivery' under the Commodity Exchange Act to exempt certain retail commodity transactions from federal regulation. The Commission mandates a functional approach to determine if delivery occurs within 28 days by examining factors such as ownership, possession, and title rather than relying solely on contract language. This guidance explicitly addresses the start of the 28-day period, acceptable depositories, and the application of these rules to physical energy commodities and offset transactions.
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