TAX AND FINANCIAL SERVICES CLIENT ALERT: Legal Challenge to CFTC Position Limits Rule

    3 October 2012
    On September 28, 2012, the U.S. District Court for the District of Columbia struck down the Commodity Futures Trading Commission’s (CFTC) final rule on position limits, which was enacted as part of the agency’s implementation of Title VII of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank)1. The rule applied position limits to swaps and other derivatives, limited available hedging exemptions, and imposed stricter aggregation requirements.