On 18 October 2011, the Commodity Futures Trading Commission (the “CFTC”) voted to propose an amendment (the “Proposed Amendment”) to its final order of 14 July 2011 (the “July Order”). The July Order grants temporary exemptive relief from certain provisions of the Commodity Exchange Act (the “CEA”) that otherwise would have become effective on 16 July 2011, the general effective date of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”). The July Order grants temporary relief in two ways. First, an exemption from the 16 July 2011 effective date was granted with respect to self-effectuating CEA provisions added or amended by Title VII of the Dodd-Frank Act that reference terms regarding entities or instruments needing to be “further defined”, to the extent that the requirements of such provisions specifically related to a term not yet further defined, until the earlier of: (i) the effective date of the final rule further defining the relevant term, or (ii) 31 December 2011. Second, the July Order provides an exemption from the provisions of the CEA that may apply to certain agreements, contracts and transactions in exempt or excluded commodities as a result of the repeal of certain CEA exemptions and exclusions pursuant to the Dodd-Frank Act until the earlier of: (i) the repeal, withdrawal or replacement of the CFTC’s “part 35” exemptive rules, or (ii) 31 December 2011.

The Proposed Amendment would alter the potential latest expiry dates in two ways. With respect to CEA provisions added or amended by Title VII of the Dodd-Frank Act referencing terms needing to be “further defined”, the Proposed Amendment would allow for temporary exemptive relief until the earlier of: (i) the effective date of the final rule further defining the relevant term, or (ii) 16 July 2012. With respect to provisions of the CEA that may apply to certain agreements, contracts and transactions in exempt or excluded commodities as a result of the repeal of certain CEA exemptions and exclusions pursuant to the Dodd-Frank Act, the Proposed Amendment would allow for temporary exemptive relief until the earlier of: (i) 16 July 2012, or (ii) such other compliance date as may be determined by the CFTC. The CFTC has requested comments on the Proposed Amendment. Comments should be submitted on or before 25 November 2011.