§2. Accounts, agreements, and transactions subject to jurisdiction of Commodity Futures Trading Commission; relation to jurisdiction of Securities and Exchange Commission and Federal and State courts; excepted transactions

(i) The Commission shall have exclusive jurisdiction, except to the extent otherwise provided in section 2a of this title, with respect to accounts, agreements (including any transaction which is of the character of, or is commonly known to the trade as, an "option", "privilege", "indemnity", "bid", "offer", "put", "call", "advance guaranty", or "decline guaranty"), and transactions involving contracts of sale of a commodity for future delivery, traded or executed on a contract market designated pursuant to section 7 of this title or any other board of trade, exchange, or market, and transactions subject to regulation by the Commission pursuant to section 23 of this title. Except as hereinabove provided, nothing contained in this section shall (I) supersede or limit the jurisdiction at any time conferred on the Securities and Exchange Commission or other regulatory authorities under the laws of the United States or of any State, or (II) restrict the Securities and Exchange Commission and such other authorities from carrying out their duties and responsibilities in accordance with such laws. Nothing in this section shall supersede or limit the jurisdiction conferred on courts of the United States or any State. (ii) Nothing in this chapter shall be deemed to govern or in any way be applicable to transactions in foreign currency, security warrants, security rights, resales of installment loan contracts, repurchase options, government securities, or mortgages and mortgage purchase commitments, unless such transactions involve the sale thereof for future delivery conducted on a board of trade.

(Sept. 21, 1922, ch. 369, §2(a)(1)(A)(i), (ii), formerly §2(a), 42 Stat. 998 ; June 15, 1936, ch. 545, §§2, 3, 49 Stat. 1491 ; Apr. 7, 1938, ch. 108, 52 Stat. 205 ; Oct. 9, 1940, ch. 786, §1, 54 Stat. 1059 ; Aug. 28, 1954, ch. 1041, title VII, §710(a), 68 Stat. 913 ; July 26, 1955, ch. 382, §1, 69 Stat. 375 ; Pub. L. 90–258, §1, Feb. 19, 1968, 82 Stat. 26 ; Pub. L. 90–418, July 23, 1968, 82 Stat. 413 ; renumbered §2(a)(1) and amended Pub. L. 93–463, title I, §101(a)(1), (2), title II, §§201, 202, Oct. 23, 1974, 88 Stat. 1389 , 1395; Pub. L. 95–405, §2(1), Sept. 30, 1978, 92 Stat. 865 ; renumbered §2(a)(1)(A) and amended Pub. L. 97–444, title I, §101(a)(1), (2), title II, §201, Jan. 11, 1983, 96 Stat. 2294 , 2297; renumbered §2(a)(1)(A)(i), (ii) and amended Pub. L. 102–546, title IV, §404(b)(1)–(5), (7), Oct. 28, 1992, 106 Stat. 3628 .)

Codification

Section is comprised of subsec. (a)(1)(A)(i) and (ii) of section 2 of the Commodity Exchange Act, act Sept. 21, 1922. Subsec. (a)(1)(A)(iii) is classified to section 4 of this title. Subsec. (a)(1)(B) is classified to section 2a of this title. Subsecs. (a)(2) to (11) of section 2 of the Commodity Exchange Act are classified to section 4a of this title. Subsec. (b) of section 2 of the Commodity Exchange Act is classified to section 3 of this title.

Amendments

1992-Pub. L. 102–546, §404(b)(2)–(5), (7), designated provisions of former third sentence as cl. (i), redesignated cls. (i) and (ii) of former third sentence as subcls. (I) and (II), respectively, designated former fifth sentence as cl. (ii), and struck out former first, second, sixth, seventh, and ninth through last sentences, which included definitions of "contract of sale", "person", "commodity", "future delivery", "board of trade", "interstate commerce", "cooperative association of producers", "member of a contract market", "futures commission merchant", "introducing broker", "floor broker", "the Commission", "commodity trading advisor", and "commodity pool operator". See section 1a of this title.

Pub. L. 102–546, §404(b)(1), which directed the substitution of "(i) The Commission" for former first two sentences and provisions of former third sentence ending with "; Provided, That the Commission", was executed by making the substitution for provisions ending with ": Provided, That the Commission", to reflect the probable intent of Congress.

1983-Pub. L. 97–444, §101(a)(2), inserted in third sentence, first proviso, ", except to the extent otherwise provided in section 2a of this title," after "exclusive jurisdiction".

Pub. L. 97–444, §201(1), inserted definition of "introducing broker".

Pub. L. 97–444, §201(2), in revising definition of "commodity training advisor", included any person advising others through electronic media; substituted provision respecting advising others "as to the value of or the advisability of trading in any contract of sale of a commodity for future delivery made or to be made on or subject to the rules of a contract market, any commodity option authorized under section 6c of this title, or any leverage transaction authorized under section 23 of this title, or who, for compensation or profit, and as part of a regular business, issues or promulgates analyses or reports concerning any of the foregoing" for provision respecting advising others "as to the value of commodities or as to the advisability of trading in any commodity for future delivery on or subject to the rules of any market, or who for compensation or profit, and as part of a regular business, issues or promulgates analyses or reports concerning commodities"; excluded in item (i) any person acting as an employee of any bank or trust company; substituted in cl. (ii) "news reporter, news columnist, or news editor of the print or electronic media" for "newspaper reporter, newspaper columnist, newspaper editor"; substituted in cl. (iv) "the publisher or producer of any print or electronic data of general and regular dissemination, including its employees" for "the publisher of any bona fide newspaper magazine, or business or financial publication of general and regular circulation including their employees"; inserted item (v); redesignated as items (vi) and (vii) former items (v) and (vi); and authorized Commission to effectuate purposes of definition by rule or regulation by including within definition any person advising as to the value of commodities or issuing reports or analyses concerning commodities.

1978-Pub. L. 95–405 substituted "section 23 of this title" for "section 15a of this title".

1974-Pub. L. 93–463 struck out "onions," after "eggs," in definition of "commodity" and inserted provisions to that definition to include as commodities all other goods and articles, except onions as provided in section 13–1 of this title, and all services, rights, and interests in which contracts for the future delivery are presently or in the future dealt in, inserted definitions for "commodity trading advisor" and "commodity pool operator", and, as definition of "the Commission", substituted "Commodity Futures Trading Commission established under section 4a of this title" for "Commodity Exchange Commission, consisting of the Secretary of Agriculture, the Secretary of Commerce, and the Attorney General, or an official or employee of each of the executive departments concerned, designated by the Secretary of Agriculture, the Secretary of Commerce, and the Attorney General, respectively; and the Secretary of Agriculture or his designee shall serve as Chairman".

1968-Pub. L. 90–418 extended definition of "commodity" in third sentence to include frozen concentrated orange juice.

Pub. L. 90–258, §1(a), extended definition of "commodity" in third sentence to include livestock and livestock products.

Pub. L. 90–258, §1(b), substituted in definition of "floor broker" in penultimate sentence "purchase or sell for any other person" for "engage in executing for others any order for the purchase or sale of" and struck out provision for receipt or acceptance of any commission or other compensation for services as a floor broker.

Pub. L. 90–258, §1(c), provided in last sentence for representation on the Commission of Secretary of Agriculture, Secretary of Commerce, and Attorney General by an official or employee designated from executive department concerned and for service of Secretary of Agriculture or his designee as Chairman.

1955-Act July 26, 1955, extended "commodity" to onions.

1954-Act Aug. 28, 1954, extended "commodity" to wool.

1940-Act Oct. 9, 1940, extended "commodity" to fats and oils (including lard, tallow, cottonseed oil, peanut oil, soybean oil, and all other fats and oils), cottonseed meal, cottonseed, peanuts, soybeans and soybean meal.

1938-Act Apr. 7, 1938, extended "commodity" to wool tops.

1936-Act June 15, 1936, substituted "commodity", "any commodity", or "commodities", as the case may require, for "grain" wherever appearing, and "any cash commodity" for "cash grain", and inserted definitions of "cooperative association of producers," "member of a contract market", "futures commission merchant", "floor broker" and "the commission."

Effective Date of 1983 Amendment

Section 239 of Pub. L. 97–444 provided that: "This Act [see Short Title of 1983 Amendment note set out under section 1 of this title] shall be effective upon the date of enactment of this Act [Jan. 11, 1983], except that sections 207, 212, and 231 of this Act [amending sections 6d, 6k, and 18 of this title] shall be effective one hundred and twenty days after the date of enactment of this Act, or such earlier date as the Commodity Futures Trading Commission shall prescribe by regulation."

Effective Date of 1978 Amendment

Section 28 of Pub. L. 95–405 provided that: "Except as otherwise provided in this Act, the provisions of this Act [see Short Title of 1978 Amendment note set out under section 1 of this title] shall become effective October 1, 1978."

Effective Date of 1974 Amendment

Section 418 of Pub. L. 93–463 provided that:

"(a) Except as otherwise provided specifically in this Act, the effective date of this Act [see Short Title note set out under section 1 of this title] shall be the 180th day after enactment [Oct. 23, 1974]. The Commission referred to in section 101 [Commodity Futures Trading Commission] is hereby established effective immediately on enactment of this Act. Sections 102 and 410 [amending sections 5108, 5314, 5315, and 5316 of Title 5, Government Organization and Employees] shall be effective immediately on enactment of this Act. Activities necessary to implement the changes effected by this Act may be carried out after the date of enactment and before as well as after the 180th day thereafter. Activities to be carried out after the date of enactment and before the 180th day thereafter may include, but are not limited to the following: Designation of boards of trade as contract markets, registration of futures commission merchants, floor brokers, and other persons required to be registered under the Act [this chapter], approval or modification of bylaws, rules, regulations, and resolutions of contract markets, and issuance of regulations, effective on or after the 180th day after enactment; appointment and compensation of the members of the Commission; hiring and compensation of staff; and conducting of investigations and hearings. Nothing in this Act shall limit the authority of the Secretary of Agriculture or the Commodity Exchange Commission under the Commodity Exchange Act, as amended, prior to the 180th day after enactment of this Act.

"(b) Funds appropriated for the administration of the Commodity Exchange Act, as amended [this chapter], may be used to implement this Act [see Short Title note under section 4a of this title] immediately after the date of enactment of this Act [Oct. 23, 1974]."

Effective Date of 1968 Amendment

Section 28 of Pub. L. 90–258 provided that: "This Act [enacting sections 12b, 13b, 13c, and 17b, and amending this section and sections 6a, 6b, 6d, 6f, 6g, 6i, 7, 7a, 7b, 8, 9, 12, 12–1, 12a, 13, and 13a of this title] shall become effective one hundred and twenty days after enactment [Feb. 19, 1968]."

Effective Date of 1955 Amendment

Section 2 of act July 26, 1955, provided that: "This Act [amending this section] shall take effect sixty days after the date of its enactment [July 26, 1955]."

Effective Date of 1954 Amendment

Section 710(b) of act Aug. 28, 1954, which provided that the amendment of this section by act Aug. 28, 1954, was effective 60 days after Aug. 28, 1954, was repealed by Pub. L. 103–130, §3(a), Nov. 1, 1993, 107 Stat. 1369 , eff. Dec. 31, 1995.

Effective Date of 1940 Amendment

Section 2 of act Oct. 9, 1940, provided that: "This Act [amending this section] shall take effect sixty days after the date of its enactment [Oct. 9, 1940]."

Effective Date of 1936 Amendment

Amendment by act June 15, 1936, effective 90 days after June 15, 1936, see section 13 of that act, set out as a note under section 1 of this title.

Cross References

Onion futures transactions, definitions, applicable, see section 13–1 of this title.

Transaction in interstate commerce, see section 3 of this title.

Section Referred to in Other Sections

This section is referred to in sections 6c, 6m, 7a, 18, 21, 25 of this title.