On March 24, 2017, the CFTC issued No-Action Letter 17-17 (No-Action 17-17), which extends for a fourth time relief granted to swap execution facilities (SEFs) from the requirement under CFTC Regulation 37.6(b) (17 CFR § 37.6(b)) that SEFs obtain and retain copies of any previously executed swap agreements, such as an ISDA Master Agreement, incorporated into a transaction confirmation for an uncleared swap transaction executed on or under the rules of the SEF.

No-Action 17-17 also provides relief from the requirement that SEFs maintain copies of the incorporated underlying documents in accordance with CFTC Regulations 37.1000 (17 CFR § 37.1000), 37.1001 (17 CFR § 37.1001) and 45.2(a) (17 CFR § 45.2(a)).

The relief granted in No-Action 17-17 is nearly identical to prior relief issued with the exception that the expiration date of No-Action 17-17 will be the effective date of any revised CFTC regulations that establish a permanent SEF confirmation solution.

For details on the scope of No-Action 17-17 and the prior relief issued, see Legal Update, CFTC Further Extends Relief to SEFs from Certain Uncleared Swap Recordkeeping Requirements.

The CFTC issued No-Action 17-17 in response to continued market concerns over the logistical and operational burdens associated with maintaining these records.