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To amend title 11 of the United States Code regarding swap agreements and forward contracts.

Public Law 101-311 · H.R. 4612 · 101st Congress · began in the House

Signed by George H. W. Bush (R) on Jun 25, 1990 · Finance and Financial Sector

Sponsor: Rep. Jack Brooks (D-TX-9)

Cosponsors (8): Rep. Hamilton Fish,

Passage votes

  • HouseVoice vote
  • SenateVoice vote
Data notes

The final version of the law, as each chamber passed it. A chamber that passed it by voice vote or unanimous consent has no count. “Method not stated” means the record does not say how the chamber voted. Where the record has a member-by-member vote, the “Who voted for it” section shows who voted yea.

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Summary

The Congressional Research Service’s plain-language summary of what the law does.

Title I: Swap Agreements - Amends Federal bankruptcy law to define "swap agreement" and "swap participant."

Exempts various transactions in connection with currency swap agreements from the automatic stay triggered by the filing of a bankruptcy petition.

Prohibits the trustee in bankruptcy from avoiding any transfer made under a swap agreement before commencement of the bankruptcy case or any setoff in connection with a swap agreement if the offset is made within 90 days prior to the bankruptcy filing.

Provides that the contractual right of a nonbankrupt party to a swap agreement to terminate the agreement shall not be stayed or otherwise limited under Federal bankruptcy law or by related judicial or administrative proceedings.

Title II: Forward Contracts - Amends Federal bankruptcy law to revise the definition of "forward contract" to include commodities enumerated in the Commodity Exchange Act as well as any similar item which is presently or may in the future become the subject of dealing in the forward contract trade. Designates specified transactions within the definition of "forward contract" including repurchase and reverse repurchase transactions, options and hedge transactions. Defines margin payments and settlement payments for forward contract purposes. Exempts any set-offs involving such payments from: (1) the automatic stay provisions triggered by a bankruptcy petition; and (2) avoidance powers of the bankruptcy trustee.

Provides that a swap participant that receives a margin or settlement payment in connection with a swap agreement takes for value to the extent of such transfer (thus exempting such payments from scrutiny as to whether they are actually fair value for the amount used). Revises the scope of contract rights liquidating a forward contract to include rights not evidenced in writing, arising under common law, under merchant law, or by reason of normal business practice.

Committees

The committees the bill was sent to, and what each did with it.

  • Judiciary Committee · House · markup by, referred to, reported bySubcommittee: Administrative State, Regulatory Reform, and Antitrust Subcommittee
Data notes

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Timeline

From introduction to signing, newest first: the committees, the floor and the president. 16 actions.

  1. Jun 25, 1990Became lawBecame law · Became Public Law No: 101-311.
  2. Became lawBecame law · Signed by President.
  3. Jun 13, 1990PresidentPresident · Presented to President.
  4. Jun 6, 1990FloorFloor · Passed Senate without amendment by Voice Vote.
  5. May 15, 1990FloorFloor · Motion to reconsider laid on the table Agreed to without objection.
  6. FloorFloor · On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.
  7. FloorFloor · On ordering a second Agreed to without objection.
  8. FloorFloor · Mr. Fish demanded a second on the motion to suspend the rules.
  9. FloorFloor · Mr. Brooks moved to suspend the rules and pass the bill, as amended.
  10. May 14, 1990CommitteeCommittee · Reported by House Judiciary Committee
  11. May 1, 1990CommitteeCommittee · Markup by House Judiciary Committee
  12. Apr 26, 1990CommitteeCommittee · Markup by Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
  13. CommitteeCommittee · Reported by Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
  14. CommitteeCommittee · Referred to Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
  15. Apr 25, 1990CommitteeCommittee · Referred to House Judiciary Committee
  16. IntroducedIntroduced · Introduced in the House
Data notes

Shows the introduction, each committee and subcommittee step the source dates (referral, hearings, markup, report, discharge), and the floor, conference, presidential and became-law steps. Calendar placements, messages between the chambers, amendments and committee report numbers are not shown for laws before the 108th Congress. Two entries the source lists twice are shown once.

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Official record

The bill’s full text and every action, including introduction and committee steps, are on Congress.gov. Data through Oct 7, 2026.