Derivatives Traders Sue CFTC To Halt A Dodd-Frank “Guidance”

Groups representing swaps and derivatives traders are suing the Commodity Futures Trading Commission over its new guidelines regulating cross-border trading. The plaintiffs allege the guidance, which “spans 78 pages in the Federal Register and includes 650 footnotes,” is effectively regulation, but it’s couched as guidance in order to circumvent cost-benefit analysis and other legally required prerequisites to proper regulation.