[Page S3932]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 4095. Mr. NELSON of Florida submitted an amendment intended to be 
proposed to amendment SA 3739 proposed by Mr. Reid (for Mr. Dodd (for 
himself and Mrs. Lincoln)) to the bill S. 3217, to promote the 
financial stability of the United States by improving accountability 
and transparency in the financial system, to end ``too big to fail'', 
to protect the American taxpayer by ending bailouts, to protect 
consumers from abusive financial services practices, and for other 
purposes; which was ordered to lie on the table; as follows:

       On page 209, line 9, insert before the period the 
     following: ``, that is cleared by or subject to the rules of 
     a clearing organization (as defined in paragraph (9)(D))''.
       On page 296, between lines 15 and 16, insert the following:
       (d) Repeal of Safe Harbor Treatment in the Bankruptcy 
     Code.--Title 11, United States Code, is amended--
       (1) in section 103(a), by striking ``chapter'' and all that 
     follows through ``apply'' and inserting ``chapter, sections 
     307, 362(n), 557, and 562 apply'':
       (2) in section 362--
       (A) in subsection (b)--
       (i) by striking paragraphs (6), (7), (17), and (27);
       (ii) by redesignating paragraphs (8) through (16) as 
     paragraphs (5) through (13), respectively;
       (iii) by redesignating paragraphs (18) through (26) as 
     paragraphs (14) through (22), respectively;
       (iv) by redesignating paragraph (28) as paragraph (23); and
       (v) in the undesignated matter at the end, by striking 
     ``(12) and (13)'' and inserting ``(9) and (10)''; and
       (B) by striking subsection (o);
       (3) in section 546--
       (A) in subsection (e)--
       (i) by striking ``101 or'';
       (ii) by striking ``101, 741,'' and inserting ``741''; and
       (iii) by inserting ``and except in a case under chapter 11 
     or 15,'' before ``the trustee'';
       (B) in subsection (f), by inserting ``and except in a case 
     under chapter 11 or chapter 15,'' before ``the trustee'';
       (C) by striking subsections (g) and (j); and
       (D) by redesignating subsections (h) and (i) as subsections 
     (g) and (h), respectively;
       (4) in section 548(d)(2)--
       (A) by striking subparagraphs (C) through (E);
       (B) in subparagraph (A), by adding ``and'' at the end; and
       (C) in subparagraph (B), by striking the semicolon at the 
     end and inserting a period;
       (5) in section 553--
       (A) in subsection (a), by striking ``(except for a setoff 
     of a kind described in section 362(b)(6), 362(b)(7), 
     362(b)(17), 362(b)(27), 555, 556, 559, 560, or 561)'' each 
     place that term appears; and
       (B) in subsection (b), by striking ``Except with respect to 
     a setoff of a kind described in section 362(b)(6), 362(b)(7), 
     362(b)(17), 362(b)(27), 555, 556, 559, 560, or 561, if a'' 
     and inserting ``If a'';
       (6) by striking sections 555, 556, 559, 560, and 561 and 
     inserting ``[Repealed].'';
       (7) in the table of sections for subchapter III of chapter 
     5, by striking the items relating to sections 555, 556, 559, 
     560, and 561;
       (8) in section 901--
       (A) by striking ``555, 556,''; and
       (B) by striking ``559, 560, 561,'';
       (9) in section 1519, by striking subsection (f); and
       (10) in section 1521, by striking subsection (f).
       At the end of title II, add the following:

     SEC. __. BANKRUPTCY CODE AMENDMENTS.

       (a) Definition.--Section 101 of title 11, United States 
     Code, is amended by inserting after paragraph (43) the 
     following:
       ``(43A) The term `qualified financial contract' means any 
     securities contract, commodity contract, forward contract, 
     repurchase agreement, or swap agreement, that is cleared by 
     or subject to the rules of a clearing organization (as 
     defined in section 201(c)(9)(D) of the Restoring American 
     Financial Stability Act of 2010.''.
       (b) Limitation on Stay of Exercise of Certain Contractual 
     Rights.--Section 541 of title 11, United States Code, is 
     amended by adding at the end the following:
       ``(g) Notwithstanding any other provision of this title, if 
     the trustee does not assume or reject a qualified financial 
     contract of the debtor within 3 days after the order for 
     relief, the exercise of any contractual right of any 
     counterparty to such qualified financial contract to cause 
     the liquidation, termination, or acceleration of one or more 
     qualified financial contracts because of a condition of the 
     kind specified in section 365(e)(1), or to offset or net out 
     any termination values or payment amounts arising under or in 
     connection with the termination, liquidation, or acceleration 
     of one or more qualified financial contracts 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. 
     During such 3-day period the trustee shall make a good faith 
     effort to meet all margin, collateral, and settlement 
     obligations of the debtor that arise under qualified 
     financial contracts, other than any such obligation that is 
     not enforceable against the trustee.''.
       (c) Limitation on Avoidance of Transfer.--Section 546(j) of 
     title 11, United States Code, is amended to read as follows:
       ``(j) Notwithstanding any Federal or State law relating to 
     the avoidance of preferential or fraudulent transfers, the 
     trustee may not avoid any transfer of money or other property 
     in connection with any qualified financial contract of the 
     debtor, unless the transferee had actual intent to hinder, 
     delay, or defraud the debtor, the creditors of the debtor, or 
     the trustee.''.
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