104 STAT. 268 PUBLIC LAW 101-311—JUNE 25, 1990 SEC. 103. LIMITATION ON AVOIDING POWERS. Section 546 of title 11, United States Code, is amended by adding at the end the following: "(g) Notwithstanding sections 544, 545, 547, 548(a)(2) and 548(b) of this title, the trustee may not avoid a transfer under a swap agreement, made by or to a swap participant, in connection with a swap agreement and that is made before the commencement of the case, except under section 548(a)(1) of this title.". SEC. 104. FRAUDULENT TRANSFERS AND OBLIGATIONS. Section 548(d)(2) of title 11, United States Code, is amended— (1) in subparagraph (B) by striking "and" at the end; (2) in subparagraph (C) by striking the period and inserting "; and"; and (3) by adding at the end the following: "(D) a swap participant that receives a transfer in connection with a swap agreement takes for value to the extent of such transfer.". SEC. 105. SETOFF. Section 553(b)(l) of title 11, United States Code, is amended by striking "362(b)(7)," and inserting "362(b)(7), 362(b)(14),". SEC. 106. CONTRACTUAL RIGHT TO TERMINATE SWAP AGREEMENTS. (a) TERMINATION OF SWAP AGREEMENTS.—Subchapter III of chapter 5 of title 11, United States Code, is amended by adding at the end the following: "§ 560. Contractual right to terminate a swap agreement "The exercise of any contractual right of any swap participant to cause the termination of a swap agreement because of a condition of the kind specified in section 365(e)(1) of this title or to offset or net out any termination values or payment amounts arising under or in connection with any swap agreement 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. As used in this section, the term 'contractual right' includes a right, whether or not evidenced in writing, arising under common law, under law merchant, or by reason of normal business practice.". (b) TECHNICAL AMENDMENT.— The table of sections of chapter 5 of title 11, United States Code, is amended by adding at the end the following item: "560. Contractual right to terminate a swap agreement.". TITLE II—FORWARD CONTRACTS SEC. 201. DEFINITION OF COMMODITY. Section 101 of title 11, United States Code (as amended by section 101), is amended—
�
