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``(17) under subsection (a), of the setoff by a swap participant or financial participant of a mutual debt and claim under or in connection with one or more swap agreements that constitutes the setoff of a claim against the debtor for any payment or other transfer of property due from the debtor under or in connection with
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(D) by inserting after paragraph (26) the following:
``(27) under subsection (a), of the setoff by a master netting agreement participant of a mutual debt and claim under or in connection with one or more master netting agreements or any contract or agreement subject to such agreements that constitutes the setoff of a claim against the debtor for any payment or other transfer of property due from the debtor under or in connection with such agreements or any contract or agreement subject to such agreements against any payment due to the debtor from such master netting agreement participant under or in connection with such agreements or any contract or agreement subject to such agreements or against cash, securities, or other property held by, pledged to, under the control of, or due from such master netting agreement participant to margin, guarantee, secure, or settle such agreements or any contract or agreement subject to such agreements, to the extent that such participant is eligible to exercise such offset rights under paragraph (6), (7), or (17) for each individual contract covered by the master netting agreement in issue.''.
(2) LIMITATION.--Section 362 of title 11, United States Code, as amended by sections 106, 305, 311, and 441, is amended by adding at the end the following:
``(o) The exercise of rights not subject to the stay arising under subsection (a) pursuant to paragraph (6), (7), (17), or (27) of subsection (b) shall not be stayed by any order of a court or administrative agency in any proceeding under this title.''.
(e) LIMITATION OF AVOIDANCE POWERS UNDER MASTER NETTING AGREEMENT.--Section 546 of title 11, United States Code, is amended--
(1) in subsection (g) (as added by section 103 of Public Law 101-311)--
(A) by striking ``under a swap agreement'';
(B) by striking ``in connection with a swap agreement'' and inserting ``under or in connection with any swap agreement''; and
(C) by inserting ``or financial participant'' after ``swap participant'' each place such term appears; and
(2) by adding at the end the following:
``(j) Notwithstanding sections 544, 545, 547, 548(a)(1)(B), and 548(b) the trustee may not avoid a transfer made by or to a master netting agreement participant under or in connection with any master netting agreement or any individual contract covered thereby that is made before the commencement of the case, except under section 548(a)(1)(A) and except to the extent that the trustee could otherwise avoid such a transfer made under an individual contract covered by such master netting agreement.''.
(f) FRAUDULENT TRANSFERS OF MASTER NETTING AGREEMENTS.--Section 548(d)(2) of title 11, United States Code, is amended--
(1) in subparagraph (C), by striking ``and'' at the end;
(2) in subparagraph (D), by striking the period and inserting ``; and''; and
(3) by adding at the end the following new subparagraph:
``(E) a master netting agreement participant that receives a transfer in connection with a master netting agreement or any individual contract covered thereby takes for value to the extent of such transfer, except that, with respect to a transfer under any individual contract covered thereby, to the extent that such master netting agreement participant otherwise did not take (or is otherwise not deemed to have taken) such transfer for value.''.
(g) TERMINATION OR ACCELERATION OF SECURITIES CONTRACTS.--Section 555 of title 11, United States Code, is amended--
(1) by amending the section heading to read as follows:``§555. Contractual right to liquidate, terminate, or accelerate a securities contract'';
and
(2) in the first sentence, by striking ``liquidation'' and inserting ``liquidation, termination, or acceleration''.
(h) TERMINATION OR ACCELERATION OF COMMODITIES OR FORWARD CONTRACTS.--Section 556 of title 11, United States Code, is amended--
(1) by amending the section heading to read as follows: ``§556. Contractual right to liquidate, terminate, or accelerate a commodities contract or forward contract'';
(2) in the first sentence, by striking ``liquidation'' and inserting ``liquidation, termination, or acceleration''; and
(3) in the second sentence, by striking ``As used'' and all that follows through ``right,'' and inserting ``As used in this section, the term `contractual right' includes a right set forth in a rule or bylaw of a derivatives clearing organization (as defined in the Commodity Exchange Act), a multilateral clearing organization (as defined in the Federal Deposit Insurance Corporation Improvement Act of 1991), a national securities exchange, a national securities association, a securities clearing agency, a contract market designated under the Commodity Exchange Act, a derivatives transaction execution facility registered under the Commodity Exchange Act, or a board of trade (as defined in the Commodity Exchange Act) or in a resolution of the governing board thereof and a right,''.
(i) TERMINATION OR ACCELERATION OF REPURCHASE AGREEMENTS.--Section 559 of title 11, United States Code, is amended--
(1) by amending the section heading to read as follows:``§559. Contractual right to liquidate, terminate, or accelerate a repurchase agreement'';
(2) in the first sentence, by striking ``liquidation'' and inserting ``liquidation, termination, or acceleration''; and
(3) in the third sentence, by striking ``As used'' and all that follows through ``right,'' and inserting ``As used in this section, the term `contractual right' includes a right set forth in a rule or bylaw of a derivatives clearing organization (as defined in the Commodity Exchange Act), a multilateral clearing organization (as defined in the Federal Deposit Insurance Corporation Improvement Act of 1991), a national securities exchange, a national securities association, a securities clearing agency, a contract market designated under the Commodity Exchange Act, a derivatives transaction execution facility registered under the Commodity Exchange Act, or a board of trade (as defined in the Commodity Exchange Act) or in a resolution of the governing board thereof and a right,''.
(j) LIQUIDATION, TERMINATION, OR ACCELERATION OF SWAP AGREEMENTS.--Section 560 of title 11, United States Code, is amended--
(1) by amending the section heading to read as follows:``§560. Contractual right to liquidate, terminate, or accelerate a swap agreement'';
(2) in the first sentence, by striking ``termination of a swap agreement'' and inserting ``liquidation, termination, or acceleration of one or more swap agreements'';
(3) by striking ``in connection with any swap agreement'' and inserting ``in connection with the termination, liquidation, or acceleration of one or more swap agreements''; and
(4) in the second sentence, by striking ``As used'' and all that follows through ``right,'' and inserting ``As used in this section, the term `contractual right' includes a right set forth in a rule or bylaw of a derivatives clearing organization (as defined in the Commodity Exchange Act), a multilateral clearing organization (as defined in the Federal Deposit Insurance Corporation Improvement Act of 1991), a national securities exchange, a national securities association, a securities clearing agency, a contract market designated under the Commodity Exchange Act, a derivatives transaction execution facility registered under the Commodity Exchange Act, or a board of trade (as defined in the Commodity Exchange Act) or in a resolution of the governing board thereof and a right,''.
(k) LIQUIDATION, TERMINATION, ACCELERATION, OR OFFSET UNDER A MASTER NETTING AGREEMENT AND ACROSS CONTRACTS.--
(1) IN GENERAL.--Title 11, United States Code, is amended by inserting after section 560 the following:``§561. Contractual right to terminate, liquidate, accelerate, or offset under a master netting agreement and across contracts; proceedings under chapter 15
``(a) Subject to subsection (b), the exercise of any contractual right, because of a condition of the kind specified in section 365(e)(1), to cause the termination, liquidation, or acceleration of or to offset or net termination values, payment amounts, or other transfer obligations arising under or in connection with one or more (or the termination, liquidation, or acceleration of one or more)--
``(1) securities contracts, as defined in section 741(7);
``(2) commodity contracts, as defined in section 761(4);
``(3) forward contracts;
``(4) repurchase agreements;
``(5) swap agreements; or
``(6) master netting agreements,
shall not be stayed, avoided, or otherwise limited by operation of any provision of this title or by any order of a court or administrative agency in any proceeding under this title.
``(b)(1) A party may exercise a contractual right described in subsection (a) to terminate, liquidate, or accelerate only to the extent that such party could exercise such a right under section 555, 556, 559, or 560 for each individual contract covered by the master netting agreement in issue.
``(2) If a debtor is a commodity broker subject to subchapter IV of chapter 7--
``(A) a party may not net or offset an obligation to the debtor arising under, or in connection with, a commodity contract traded on or subject to the rules of a contract market designated under the Commodity Exchange Act or a derivatives transaction execution facility registered under the Commodity Exchange Act against any claim arising under, or in connection with, other instruments, contracts, or agreements listed in subsection (a) except to the extent that the party has positive net equity in the commodity accounts at the debtor, as calculated under such subchapter; and
``(B) another commodity broker may not net or offset an obligation to the debtor arising under, or in connection with, a commodity contract entered into or held on behalf of a customer of the debtor and traded on or subject to the rules of a contract market designated under the Commodity Exchange Act or a derivatives transaction execution facility registered under the Commodity Exchange Act against any claim arising under, or in connection with, other instruments, contracts, or agreements listed in subsection (a).
``(3) No provision of subparagraph (A) or (B) of paragraph (2) shall prohibit the offset of claims and obligations that arise under--
``(A) a cross-margining agreement or similar arrangement that has been approved by the Commodity Futures Trading Commission or submitted to the Commodity Futures Trading Commission under paragraph (1) or (2) of section 5c(c) of the Commodity Exchange Act and has
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``(B) any other netting agreement between a clearing organization (as defined in section 761) and another entity that has been approved by the Commodity Futures Trading Commission.
``(c) As used in this section, the term `contractual right' includes a right set forth in a rule or bylaw of a derivatives clearing organization (as defined in the Commodity Exchange Act), a multilateral clearing organization (as defined in the Federal Deposit Insurance Corporation Improvement Act of 1991), a national securities exchange, a national securities association, a securities clearing agency, a contract market designated under the Commodity Exchange Act, a derivatives transaction execution facility registered under the Commodity Exchange Act, or a board of trade (as defined in the Commodity Exchange Act) or in a resolution of the governing board thereof, and a right, whether or not evidenced in writing, arising under common law, under law merchant, or by reason of normal business practice.
``(d) Any provisions of this title relating to securities contracts, commodity contracts, forward contracts, repurchase agreements, swap agreements, or master netting agreements shall apply in a case under chapter 15, so that enforcement of contractual provisions of such contracts and agreements in accordance with their terms will not be stayed or otherwise limited by operation of any provision of this title or by order of a court in any case under this title, and to limit avoidance powers to the same extent as in a proceeding under chapter 7 or 11 of this title (such enforcement not to be limited based on the presence or absence of assets of the debtor in the United States).''.
(2) CONFORMING AMENDMENT.--The table of sections for chapter 5 of title 11, United States Code, is amended by inserting after the item relating to section 560 the following:
``561. Contractual right to terminate, liquidate, accelerate, or offset under a master netting agreement and across contracts; proceedings under chapter 15.''.
(l) COMMODITY BROKER LIQUIDATIONS.--Title 11, United States Code, is amended by inserting after section 766 the following:``§767. Commodity broker liquidation and forward contract merchants, commodity brokers, stockbrokers, financial institutions, financial participants, securities clearing agencies, swap participants, repo participants, and master netting agreement participants
``Notwithstanding any other provision of this title, the exercise of rights by a forward contract merchant, commodity broker, stockbroker, financial institution, financial participant, securities clearing agency, swap participant, repo participant, or master netting agreement participant under this title shall not affect the priority of any unsecured claim it may have after the exercise of such rights.''.
(m) STOCKBROKER LIQUIDATIONS.--Title 11, United States Code, is amended by inserting after section 752 the following:``§753. Stockbroker liquidation and forward contract merchants, commodity brokers, stockbrokers, financial institutions, financial participants, securities clearing agencies, swap participants, repo participants, and master netting agreement participants
``Notwithstanding any other provision of this title, the exercise of rights by a forward contract merchant, commodity broker, stockbroker, financial institution, securities clearing agency, swap participant, repo participant, financial participant, or master netting agreement participant under this title shall not affect the priority of any unsecured claim it may have after the exercise of such rights.''.
(n) SETOFF.--Section 553 of title 11, United States Code, is amended--
(1) in subsection (a)(2)(B)(ii), by inserting before the semicolon the following: ``(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)'';
(2) in subsection (a)(3)(C), by inserting before the period the following: ``(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 of this title)''; and
(3) in subsection (b)(1), by striking ``362(b)(14),'' and inserting ``362(b)(17), 362(b)(27), 555, 556, 559, 560, 561,''.
(o) SECURITIES CONTRACTS, COMMODITY CONTRACTS, AND FORWARD CONTRACTS.--Title 11, United States Code, is amended--
(1) in section 362(b)(6), by striking ``financial institutions,'' each place such term appears and inserting ``financial institution, financial participant,'';
(2) in sections 362(b)(7) and 546(f), by inserting ``or financial participant'' after ``repo participant'' each place such term appears;
(3) in section 546(e), by inserting ``financial participant,'' after ``financial institution,'';
(4) in section 548(d)(2)(B), by inserting ``financial participant,'' after ``financial institution,'';
(5) in section 548(d)(2)(C), by inserting ``or financial participant'' after ``repo participant'';
(6) in section 548(d)(2)(D), by inserting ``or financial participant'' after ``swap participant'';
(7) in section 555--
(A) by inserting ``financial participant,'' after ``financial institution,''; and
(B) by striking the second sentence and inserting the following: ``As used in this section, the term `contractual right' includes a right set forth in a rule or bylaw of a derivatives clearing organization (as defined in the Commodity Exchange Act), a multilateral clearing organization (as defined in the Federal Deposit Insurance Corporation Improvement Act of 1991), a national securities exchange, a national securities association, a securities clearing agency, a contract market designated under the Commodity Exchange Act, a derivatives transaction execution facility registered under the Commodity Exchange Act, or a board of trade (as defined in the Commodity Exchange Act), or in a resolution of the governing board thereof, and a right, whether or not in writing, arising under common law, under law merchant, or by reason of normal business practice'';
(8) in section 556, by inserting ``, financial participant,'' after ``commodity broker'';
(9) in section 559, by inserting ``or financial participant'' after ``repo participant'' each place such term appears; and
(10) in section 560, by inserting ``or financial participant'' after ``swap participant''.
(p) CONFORMING AMENDMENTS.--Title 11, United States Code, is amended--
(1) in the table of sections for chapter 5--
(A) by amending the items relating to sections 555 and 556 to read as follows:
``555. Contractual right to liquidate, terminate, or accelerate a securities contract.
``556. Contractual right to liquidate, terminate, or accelerate a commodities contract or forward contract.'';
and
(B) by amending the items relating to sections 559 and 560 to read as follows:
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