A bill to amend title 11, United States Code, to correct technical errors, and to clarify and make substantive changes, with respect to securities and commodities.
Public Law 97-222 · H.R. 4935 · 97th Congress · began in the House
Signed by Ronald Reagan (R) on Jul 27, 1982 · Finance and Financial Sector
Sponsor: Rep. Peter Rodino (D-NJ-10)
Cosponsors: None
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.
Summary
The Congressional Research Service’s plain-language summary of what the law does.
Amends title 11 (Bankruptcy) of the United States Code to define, for the purposes of such title, "securities clearing agency" as a person that is registered as a clearing agency under the Securities Exchange Act of 1934 or whose business is confined to the performance of functions of a clearing agency with respect to exempted securities, as defined in such Act.
Amends the definition of a "security" under title 11, which includes only securities registered under the Securities Act of 1933, to include any security which should be so registered.
Makes the provisions of title 11 concerning commodity broker liquidation applicable only in a case concerning a commodity broker.
Includes an application filed under the Securities Investor Protection Act of 1970 within the provisions of the Bankruptcy Code which provide for an automatic stay applicable to specified entities.
Prohibits the trustee from avoiding a transfer that is a margin payment or settlement payment made by or to a commodity broker, forward contract merchant, stockbroker, or securities clearing agency that is made before the commencement of the bankruptcy case.
States that the exercise of a contractual right of a stockbroker or securities clearing agency to cause the liquidation of a securities contract shall not be stayed, avoided, or otherwise limited by operation of any provision of this title or by order of a court or administrative agency in any proceeding under this title unless such order is authorized under the provisions of the Securities Investor Protection Act of 1970 or any statute administered by the Securities and Exchange Commission.
Declares that the contractual right of a commodity broker or forward contract merchant to cause the liquidation of a commodity contract and the right to a variation or maintenance margin payment received from a trustee with respect to open commodity contracts or forward contracts, shall not be stayed, avoided, or otherwise limited by operation of any provision of this title or by the order of a court in any proceeding under this title.
Prohibits the trustee from avoiding a transfer made before five days after the order for relief if such transfer is approved by the Commission by rule or order, either before or after such transfer, and if such transfer is: (1) a transfer of a securities contract entered into or carried by or through the debtor on behalf of a customer, and of any cash, security, or other property margining or securing such securities contract; or (2) the liquidation of a securities contract entered into or carried by or through the debtor on behalf of a customer.
Apportions any cash or security remaining after the liquidation of a security interest created under a security agreement made by the debtor, excluding certain property, between the general estate and customer property in the same proportion as the general estate of the debtor and customer property were subject to such security interest.
Includes within the definition of "margin payment" mark-to-market payments, settlement payments, variation payments, daily settlement payments, and final settlement payments made as adjustments to settlement prices.
Prohibits the payment of a customer net equity claim based on a proprietary account out of customer property unless all other customer net equity claims have been paid in full.
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
A committee links to its page only where it exists in the current Congress; older and renamed committees are named without a link.
Timeline
From introduction to signing, newest first: the committees, the floor and the president. 14 actions.
- Jul 27, 1982Became lawBecame law · Became Public Law No: 97-222.
- Became lawBecame law · Signed by President.
- Jul 16, 1982PresidentPresident · Presented to President.
- Jul 13, 1982FloorFloor · Passed Senate without amendment by Voice Vote.
- Jun 10, 1982CommitteeCommittee · Discharged from Senate Judiciary Committee
- Feb 12, 1982CommitteeCommittee · Referred to Senate Judiciary Committee
- Feb 9, 1982FloorFloor · Passed House by Voice Vote.
- Jan 25, 1982CommitteeCommittee · Reported by House Judiciary Committee
- Dec 8, 1981CommitteeCommittee · Markup by House Judiciary Committee
- Nov 20, 1981CommitteeCommittee · Reported by Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
- CommitteeCommittee · Markup by Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
- Nov 16, 1981CommitteeCommittee · Referred to Administrative State, Regulatory Reform, and Antitrust Subcommittee of the House Judiciary Committee
- Nov 10, 1981CommitteeCommittee · Referred to House Judiciary Committee
- 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.
Official record
The bill’s full text and every action, including introduction and committee steps, are on Congress.gov. Data through Oct 7, 2026.