The U.S. Commodity Futures Trading Commission is planning to provide some safe harbors for over-the-counter derivatives once the July 16 deadline for implementing new rules under the Dodd-Frank Act passes without the regulations in place. The safe harbors for self-executing rules are designed to “delay them until the new rules are in place” and prevent OTC derivatives contracts from falling into legal limbo, according to Scott O’Malia, a CFTC commissioner.
