Refer to section 1010.100 of
this chapter for general definitions not noted herein. To the extent
there is a differing definition in section 1010.100 of this chapter,
the definition in this section is what applies to part 1026. Unless
otherwise indicated, for the purposes of this part:
(a) Account. For purposes
of section 1026.220:
(1) Account means a formal relationship
with a futures commission merchant, including, but not limited to,
those established to effect transactions in contracts of sale of a
commodity for future delivery, options on any contract of sale of
a commodity for future delivery, or options on a commodity.
(2) Account does not
include:
(i) An account that the futures commission
merchant acquires through any acquisition, merger, purchase of assets,
or assumption of liabilities; or
(ii) An account opened for the purpose
of participating in an employee benefit plan established under the
Employee Retirement Income Security Act of 1974.
(b) Commodity means any good, article, service,
right, or interest described in section 1a(4) of the Commodity Exchange
Act (7 U.S.C. 1a(4)).
(c) Contract of sale means any sale, agreement of sale or agreement to sell as described
in section 1a(7) of the Commodity Exchange Act (7 U.S.C. 1a(7)).
(d) Customer. For
purposes of section 1026.220:
(1) Customer means:
(i) A person
that opens a new account with a futures commission merchant; and
(ii) An individual
who opens a new account with a futures commission merchant for:
(A) An individual who lacks legal capacity; or
(B) An entity that is not a legal person.
(2) Customer does not include:
(i) A financial institution
regulated by a Federal functional regulator or a bank regulated by
a state bank regulator;
(ii) A person described in section 1020.315(b)(2)
through (4) of this chapter; or
(iii) A person that has an existing
account, provided the futures commission merchant or introducing broker
has a reasonable belief that it knows the true identity of the person.
(3) When an
account is introduced to a futures commission merchant by an introducing
broker, the person or individual opening the account shall be deemed
to be a customer of both the futures commission merchant and the introducing
broker for the purposes of this section.
(e) Financial institution is defined at 31 U.S.C. 5312(a)(2)
and (c)(1).
(f) Futures commission merchant means any person registered or required to be registered as a futures
commission merchant with the Commodity Futures Trading Commission
(“CFTC”) under the Commodity Exchange Act (7 U.S.C. 1 et seq.), except persons who register pursuant to section 4f(a)(2) of the
Commodity Exchange Act (7 U.S.C. 6f(a)(2)).
(g) Introducing broker means any person registered or required to
be registered as an introducing broker with the CFTC under the Commodity
Exchange Act (7 U.S.C. 1 et seq.), except persons who register
pursuant to section 4f(a)(2) of the Commodity Exchange Act (7 U.S.C.
6f(a)(2)).
(h) Option means an agreement,
contract or transaction described in section 1a(26) of the Commodity
Exchange Act (7 U.S.C. 1a(26)).
