Logo for print Skip to main content
Toggle navigation MENU MORE

About David

David Perlman represents and counsels clients in regulatory and compliance matters concerning the Federal Energy Regulatory Commission (FERC), Commodity Futures Trading Commission (CFTC) and state public utility commissions, energy-related transactions and financings, and in the establishment of compliance programs and training. His clients include utilities, commodities merchants, oil and gas pipeline companies, electric generators, energy marketers, industrial customers, generators, lenders and financial institutions and oil and gas producers.

David has held positions as chief counsel to Lehman Brothers commodity trading business, where he was responsible for legal, transactional and regulatory matters relating to the firm’s physical and derivative commodity businesses, and general counsel and chief energy counsel at Constellation Energy’s merchant and trading business.

He also served as a senior legal advisor in the Office of General Counsel of FERC, where he provided advice regarding complex legal, regulatory policy and legislative issues coming before the commission. These included matters related to Regional Transmission Organizations (RTO)/Independent System Operators (ISO), gas and electric market oversight, market-based rates and transmission. David was co-chair of the committee that created the EEI Master Power Purchase and Sale Agreement and continues as a committee member.

Clients say: ‘He has a thorough knowledge of FERC requirements, as well as existing and historical FERC enforcement actions, and he provides practical solutions that fit our business processes.’
Chambers USA, 2018

Experience

Recent Notable Matters

Shell Energy North America (US), L.P. — litigation and settlement filed at FERC over claims related to the 2000-2001 California energy crisis, ending nearly two decades of litigation

Multiple energy companies — counsel in CFTC and Dodd-Frank Implementation Matters including Exelon and American Electric Power Company

Coalition of Physical Energy Companies (COPE) — counsel in CFTC and Dodd-Frank implementation matters

Edison Electric Institute, Electric Power Supply Association and other trade groups — draft comments on behalf of the clients in CFTC Dodd-Frank Rulemakings

Multiple energy companies — counsel in Dodd-Frank compliance

Multiple energy companies — assist in Commodity Pool matters

Multimember Group (including American Electric Power, Exelon & Shell Energy) — in PJM matters concerning market participation and other market restructuring issues

Financial institutions regulatory group — in FERC corporate securities proceedings

Large European banks — in Public Utility Holding Company Act of 2005 matters

Large trading organization — in FERC investigation in enforcement iInvestigation concerning RTO market

Large Investment Bank — in CFTC investigation in natural gas markets

Large bank — represent in an arbitration concerning tolling agreement

Publications and Speeches

“FERC Reconsiders Horizontal Market Power in Transactions,” Law360, September 2016.

“EPAct 2005: A Game Changer for Transmission?” Renewable Energy World, June 2016.

“Dodd-Frank/CFTC and new SEFs, SDRs, and DCMs: the Latest on Execution and Clearing of Swaps, Reporting Swap Data, and Trading Platforms and Venues,” American Conference Institute 9th National Forum on Energy Trading Compliance & Regulatory Enforcement, June 2014.

“Dodd-Frank: Actual Impacts On & Challenges to the Energy Market,” WSPP Spring Operating Committee Meeting, March, 2014.

“Responding to Regulatory and Criminal Investigations,” Energy Market Price Integrity: Policy Enforcement and Litigation, February, 2014.

“Swap Dealer Perspective - Engaging in Transactions with End Users after Dodd- Frank,” Edison Electric Institute, CFTC - Dodd Frank Compliance Forum, October 2013.

“Current Policy and Regulatory Issues” and “Development of Transmission and Electricity Commodity Markets,” Transmission Business School, Chicago, Illinois, June 2013.

“Swaps, Non-Swaps, Financial Entity and Beyond: Adapting to Statutory and CFTC Definitions,” American Conference Institute’s Energy Trading Compliance and Regulatory Enforcement Conference, June, 2013.

“Financial Entity Update,” Edison Electric Institute Contract Drafting Committee Meeting, February 2013.

Credentials

Education

University of Baltimore School of Law,
J.D.
1980
University of Maryland,
B.A.
1977

Bar Admissions

District of Columbia
Maryland

Affiliations

EEI Power Contract Drafting Committee
Founding Co-Chair; Committee Member
Energy Bar Association
Chairman, Finance & Transactions Committee
University of Illinois, Transmission Business School
Faculty/Lecturer

News

News

EPAct 2005: A Game Changer for Transmission? Part Two

June 28, 2016
Renewable Energy World North America

EPAct 2005: A Game Changer for Transmission? Part One

June 27, 2016
Renewable Energy World North America

Did Kraft manipulate futures?

October 21, 2015
Futures

FERC issues notice of alleged violations on up to congestion trades

September 22, 2014
Electric Light & Power Online

FERC confirms long reach of open access requirements

March 17, 2014
Electric Light & Power Online

CFTC-FERC agreements fail to meet hype

January 13, 2014
Energy Trader

How the Bank Lobby Loosened U.S. Reins on Derivatives

September 4, 2013
Bloomberg Businessweek Online

U.S. Regulators Set Vote on Which Companies are Swaps Dealers

April 17, 2012
Bloomberg News - Washington Bureau

Enforceability of triangular setoffs

December 7, 2011
TheDeal.com

Insights

Insights

U.S. Futures Exchanges Disciplinary Actions Alert: March 2018

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a...

U.S. Futures Exchanges Disciplinary Actions Alert: February 2018

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities and...

U.S. Futures Exchanges Disciplinary Actions Alert: January 2018

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities...

U.S. Futures Exchanges Disciplinary Actions Alert: December 2017

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities...

FERC Asserts Right to Impose Retroactive Surcharges

Historically, Sections 205 [1] and 206 [2] of the Federal Power Act (“FPA”) have been viewed as authorizing the Federal Energy Regulatory Commission (“FERC” or the “Commission”) to order refunds when a rate has been suspended and placed in effect subject to refund pursuant to Section 205 or a refund effective date...

Boost for Renewables Transmission: DOE Transmission Siting Authority Upheld

Over the last several years, Clean Line Energy Partners LLC has been pursuing development of long-haul high-voltage direct current (HVDC) transmission lines, primarily to deliver energy created by wind and other renewables in lower populated areas to high-demand areas of the country. In 2016, the U.S. Department of Energy selected...

U.S. Futures Exchanges Disciplinary Actions Report - November 2017

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities and...

U.S. Futures Exchanges Disciplinary Actions Report - October 2017

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities and...

CFTC Annual Enforcement Update

On November 22, 2017, the Commodity Futures Trading Commission (“CFTC”) released its annual enforcement report for fiscal year 2017. As in previous years, this year’s report highlights the agency’s continued commitment to enforcement and aggressive pursuit of those viewed as engaging in conduct that undermines the integrity of...

FERC Annual Enforcement Update

FERC Annual Enforcement Update On November 16, 2017, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) released the Office of Enforcement’s (“OE”) annual report on enforcement activities (“ Annual Report ”) for fiscal year...

Barclays Market Manipulation Case Settles for $105 Million, What We Learned and What’s Next?

After more than four years of litigation in federal district court, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) yesterday issued an order approving a $105 million settlement...

U.S. Futures Exchanges Disciplinary Actions Report - September 2017

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular focus on notices potentially relevant to energy commodities and...

FERC Improves Treatment of Passive Tax Equity for Transaction Approvals

On October 4, 2017, the Federal Energy Regulatory Commission (“FERC”) issued an order clarifying that it will not treat certain tax equity interests in public utilities or public utility holding companies as voting securities for purposes of transaction approval...

Will Supreme Court Find Constitutional Problems With ALJs?

Recent federal circuit court of appeals decisions have cast doubt on the constitutionality of the use of administrative law judges (ALJs) in adjudicative proceedings. ALJs are widely used to adjudicate disputes and enforcement actions in regulated industries, including...

DOE Proposes FERC Action to Preserve and Compensate Baseload Generation Resources

Pursuant to its authority under Section 403 of the Department of Energy Organization Act, on September 29, 2017, the Department of Energy (“DOE”) issued a Notice of Proposed Rulemaking (“NOPR”)...

The CFTC Wants You To Turn Yourself In

On September 25, 2017, James McDonald, Director of the Division of Enforcement (“Division”) at the Commodity Futures Trading Commission (“CFTC” or “Commission”) gave a speech at New York University in which he discussed the mission of the Division of...

U.S. Futures Exchanges Disciplinary Actions Report - August 2017

The Bracewell U.S. Futures Exchanges Disciplinary Actions Report is a monthly report that provides summaries of certain disciplinary notices by U.S. exchanges during the prior month. The report has a particular...

U.S. Futures Exchanges Disciplinary Actions Report - July 2017

NYMEX NYMEX 15-0305-BC Position Limits Violation of Rule 562 – Position Limit Violations On August 9, 2016, a Probable Cause Committee (“PCC”) panel charged a non-member entity with violating NYMEX Rule 562, based on allegations that on November 23, 2015, the non-member entity held a long position of 1,225 December 2015 Natural Gas Futures contracts, which was 22.5% above the standard monthly position limit that was in effect. On November 23, 2016, the Business Conduct Committee (“BCC”) entered an order finding that the non-member entity failed to answer the charge and thus was deemed to have...

A Path Begins to Emerge: Industry Responses to FERC Proposals Respecting State Policies and Eastern Wholesale Markets

A Path Begins to Emerge: Industry Responses to FERC Proposals Respecting State Policies and Eastern Wholesale Markets On May 1-2, 2017, the Federal Energy Regulatory Commission (“FERC”) held a two day conference focused on the interplay between state policy goals and the organized markets for energy and capacity operated by Regional Transmission Organizations (“RTO”) and Independent System Operators (“ISO”) in the East. The conference focused on what steps, if any, FERC should take to protect the integrity of wholesale markets given the recent proliferation of state policies intended to...

U.S. Futures Exchanges Disciplinary Actions Report - June 2017

NYMEX NYMEX 16-0498-BC Position Limit Violation of Rule 562 – Position Limit Violations Pursuant to a settlement offer, a Business Conduct Committee panel (“BCC Panel”) found that on July 27, 2016, a non-member entity held a futures equivalent long position of 1,159.25 contracts in August 2016 Henry Hub Natural Gas Look-Alike Last Day Financial Futures, which was 159.25 contracts, or 15.925%, beyond the standard expiration month limit. As a result, the non-member entity may have violated Rule 562. $50,000 fine. NYMEX 16-0600-BC Misc. Violation of Rule 432 – General Offenses, Rule 576 –...

FERC Technical Conference: Developments in Natural Gas Index Liquidity and Transparency

On Thursday, June 29, 2017, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) held a technical conference on the liquidity and transparency of natural gas price indices. The conference consisted of three discussion panels with panelists from various price reporting agencies (“PRAs”), trade associations, academia, energy companies, and other stakeholders. [1] There was general consensus among the panelists on a number of issues including general confidence in the indices, the importance of encouraging more price reporting, the need for a stronger safe harbor for price...

U.S. Futures Exchanges Disciplinary Actions Report - May 2017

NYMEX NYMEX 16-0372-BC Misc. Violation of Rule 432.Q, 432.W – General Offenses Pursuant to a settlement offer, a panel found that from July 2015 through March 2016, a non-member trader was concomitantly operating market-making and market-taking automated trading systems during the pre-opening period that entered and cancelled a number of E-mini Crude Oil and Natural Gas futures contracts orders. The market-taking strategy should not have operated in the pre-opening period and the orders it generated were not intended to be entered. Due to the non-member trader’s inability to properly...

U.S. Futures Exchanges Disciplinary Actions Report - April 2017

For the first time since we began the monthly Disciplinary Actions Report there were no disciplinary notices on the exchanges we monitor. Of course, there continue to be pending, non-public matters and more notices to come.

U.S. Futures Exchanges Disciplinary Actions Report - March 2017

NYMEX NYMEX 15-0200-BC-6 EFRP Violation of Rules 538 – Exchange for Related Positions and 538.C – Related Position. A non-member entity was found to have entered into an EFRP transaction on December 1, 2014 that was in violation of Exchange Rule 538.C. No evidence was found that the non-member entity, as the seller of a futures contract, purchased a corresponding swap or other related position, as required by Exchange Rule 538.C. Nevertheless, it was found that the EFRP transaction that the non-member entity entered into was non-bona fide, since it did not involve the requisite transfer of...

For Those Keeping Tally, Another Win for Defendants’ Rights: Exploring De Novo Review and Burdens of Proof

On March 30, 2017, the U.S. District Court for the Eastern District of California issued an order denying, without prejudice, the Federal Energy Regulatory Commission’s (“FERC” or the “Commission”) Motion to Affirm Civil Penalties against Barclays Bank PLC and four individuals (“Defendants”). [1] As an initial matter, the court agreed with every other federal court that has opined on the issue of whether defendants are entitled to conduct discovery under the Federal Rules of Civil Procedure. [2] Notably, though, the court went further than any other court in rejecting arguments raised by FERC...

U.S. Futures Exchanges Disciplinary Actions Report - February 2017

NYMEX NYMEX 16-0600 Misc . Rules 413 – Summary Access Denial Actions (in part) and 413.A – Authority to Deny Access. On January 5, 2017, CME Group’s Market Regulation Department summarily denied a member’s direct and indirect access to the CME Globex electronic trading platform for purposes of trading or entering Trading at Settlement (“TAS”) orders in any product. The summary access denial prohibited the member, or anyone on behalf of the member, from trading TAS, placing TAS orders, and controlling or directing TAS trading for any person, entity, or account in any CME Group exchange product...

U.S. Futures Exchanges Disciplinary Actions Report - January 2017

NYMEX NYMEX 15-0087-BC-7 Misc. Violation of Rule 432 – General Offenses (in part) In August a non-member firm was alleged to have failed to respond to Exchange staff requests for information related to an investigation. Accordingly, the Business Conduct Committee and Hearing Panel Chair found that the firm failed to answer the charge, admitted the charge, and waived its right to a hearing. In the penalty hearing, the firm was found to have committed the violation. $50,000 penalty, ten year suspension. NYMEX 16-0600 Misc. Violation of Rule 413 – Summary Access Denial Actions (in part) As part...

U.S. Futures Exchanges Disciplinary Actions Report - December 2016

NYMEX NYMEX 16-0530-BC Position Limits Violation of Rule 562 – Position Limit Violations. At the close of business on a single day in September 2016, a member firm held a short position which was 38.4% over the standard expiration month limit for October 2016 Henry Hub Natural Gas Futures contracts. Pursuant to a settlement offer, the member firm neither admitted nor denied the violation. $40,000 penalty. ICE 2015-114 Block Trades; Misc. Violation of Exchange Rule 4.01 - Duty to Supervise; Rule 4.02(c) – Trade Practice Violations; Rule 4.02(d) – Trade Practice Violations; Rule 4.04 – Conduct...

U.S. Futures Exchanges Disciplinary Actions Report - November 2016

COMEX COMEX 14-0050-BC Disruptive Trading Violation of Rule 575.A and Rule 575.D – Disruptive Practices Prohibited. Between November 2014 and March 2015, a member trader, with no intent to trade, entered or layered orders in futures contracts in order to motivate other market participants to trade opposite the member’s smaller resting orders, which the member would cancel within moments after receiving a fill on those smaller orders. During this same period, the member created alternating buy-side and sell-side market imbalances by entering orders on one side of the market and smaller orders...

U.S. Futures Exchanges Disciplinary Actions Report - October 2016

NYMEX NYMEX 13-9490-BC-1 COMEX 13-9490-BC-1 Disruptive Trading Violation of Rule 432– General Offenses (in part); Rule 433 – Strict Liability for the Acts of Agents. Between March and July 2013, two traders, acting on behalf of a member firm, engaged in patterned activity in which they entered into “larger-sized” orders and then cancelled them seconds after the execution of smaller orders on the opposite side of the book in order to encourage other market participants to trade with the smaller-sized orders. Pursuant to a settlement offer, the member firm neither admitted nor denied the...

FERC Confirms Contract-Specific Nature of Mobile-Sierra Presumption and WSPP Agreement Requirements

Earlier this year , we alerted you to a January 8, 2016 Revised Initial Decision by an administrative law judge (ALJ) at the Federal Energy Regulatory Commission (Commission) that implicated issues of concern to the industry as a whole, as well as to the parties to the proceeding. The Commission recently issued an order reversing the Revised Initial Decision and, in doing so, upheld the well-established contract-specific nature of a challenge to bilaterally negotiated contracts pursuant to the Mobile-Sierra presumption. [1] Background As described in more detail in our April 11, 2016 post, in...

FERC Audit Report Provides Guidance Regarding Reporting Of Uplift And Capacity Payments In Electric Quarterly Reports

On October 14, 2016, the Federal Energy Regulatory Commission (“FERC”) issued an order approving an audit report providing guidance regarding how to report certain types of transactions and payments received by those participating in the FERC-jurisdictional markets operated by Regional Transmission Organizations (“RTO”) and Independent System Operators (“ISO”) in a seller’s Electric Quarterly Reports (“EQR”). The audit report highlights pitfalls that market-based rate sellers should avoid when submitting EQRs and provides insight into areas of likely FERC scrutiny. In particular, FERC staff’s...

U.S. Futures Exchanges Disciplinary Actions Report - September 2016

NYMEX NYMEX 16-0355-BC EFRP Violation of Rule 432.X – General Offenses. In June 2015 a member company executed two EFRP transactions on two dates with the intent that they be block trades. Because there were no corresponding related positions, the EFRP transactions were non-bona fide. Pursuant to a settlement offer, the member neither admitted nor denied the violation. $15,000 penalty. NYMEX 16-0374-BC EFRP Violation of Rule 432.X – General Offenses. On a single day in July 2015 a non-member company executed one EFRP transaction that, because there was no corresponding related position, was...

Court Clarifies Standard For CFTC Price-Based Manipulation Charge

On September 30, 2016, the United States District Court for the Southern District of New York issued an order in CFTC vs Wilson, et. al , 13 Civ. 7884 (NYSD), denying motions for summary judgment in an action by the Commodity Futures Trading Commission (“CFTC”) concerning alleged violations of the prohibition on market manipulation contained in Sections 6(c) and 9(a)(2) of the Commodity Exchange Act (“CEA”). In its order, the Court clarified the burden of proof that the CFTC faces when making a price-based manipulation claim under these sections, including that acting with the intent to...

FERC Reconsidering Horizontal Market Power Analyses For Purposes of Section 203 Filings and Market-Based Rate Applications

Executive Summary On September 22, 2016, the Federal Energy Regulatory Commission (“FERC”) issued a Notice of Inquiry (“NOI”) seeking comment on whether FERC should make changes to the manner in which it evaluates horizontal market power for purposes of evaluating transactions under Section 203 of the Federal Power Act (“FPA”) and its market-based rate program. Among other things, if FERC ultimately adopts this proposal, certain transactions that currently require no detailed market power analysis to be submitted in order to obtain approval would now be subject to more scrutiny. For instance...

FERC Proposes Clarifications to EQR Requirements

In its September 22 Open Meeting, the Federal Energy Regulatory Commission (Commission) issued a Notice Seeking Comments on Proposed Revisions to Electric Quarterly Report Reporting Requirements (in Docket No. RM01-8-000, et al. ) as part of an ongoing effort to “provide for more accurate and consistent data in the EQR.” [1] Two proposed changes in the September 22 Notice are likely to be of significant interest: clarifications on reporting of booked out power and the increased ancillary services reporting obligations for transmission providers. The Notice also seeks comment on other proposed...

U.S. Futures Exchanges Disciplinary Actions Report - August 2016

ICE 2015-051 Block Trades Violation of Rule 6.08(b)(i) - Order Ticket Requirements, Rule 4.07(c) - Block Trading, and Rule 4.01 - Duty to Supervise. On multiple occasions, an entity allegedly failed to comply with the recordkeeping requirements when handling customer orders, misreported the correct execution time of block trades as well as submitted a block trade beyond the 15-minute reporting period, and failed to adequately supervise its brokers’ block trade activity. $15,000 fine and cease and desist. CME CME 13-9366-BC Misc. Violation of Rule 432.X. - General Offenses (in part); Rule 532...

U.S. Futures Exchanges Disciplinary Actions Report - July 2016

ICE 2014-033 & 2015-085 Disruptive Trading; Spoofing Violation of Rule 4.02(e)(i), 4.02(e)(iv) [Current Rule 4.02(l)(2)], Rule 4.02(h) [Current Rule 4.02(l)(1)(C), and 4.02(k)(2)(C) – Trade Practice Violations and Rule 4.01 – Duty to Supervise. On January 23, 2014, a trader allegedly engaged in a pattern of trading activity where he created order book imbalances in the Cotton No. 2 futures market (“CT”) by entering multiple 500-lot March 2014 (“H14) CT orders at different price levels at the same time he was entering smaller orders on the opposite side of the H14 CT market, creating...

FERC Alters Proposal to Enhance Reporting in Support of Enforcement

At the Federal Energy Regulatory Commission’s (“FERC” or “Commission”) July 21, 2016 meeting, FERC issued a Notice of Proposed Rulemaking (“NOPR”) proposing to establish a new reporting regime that would require market-based rate (“MBR”) sellers and entities only trading virtual products and financial transmission rights in markets operated by Regional Transmission Organizations (“RTO”) and Independent System Operators (“ISO”) (“Virtual/FTR Participants”) to submit detailed ownership, employee, and contractual information to a database maintained by FERC. FERC proposes that its staff would...

U.S. Futures Exchanges Disciplinary Actions Report - June 2016

ICE 2015-058 Misc. Violation of Rule 6.15(a)- Reportable Positions and Daily Reports and Rule 4.01- Duty to Supervise. An entity allegedly failed, on multiple occasions from January 2015–April 2015 and September 2015–October 2015, to report large trader positions. The entity did not have an adequate process or procedure in place to discover these reporting errors. $20,000 penalty and cease and desist. 2015-014 Block Trade; Misc. Violation of Rule 6.08(b)(i)- Order Ticket Requirements, Rule 4.07- Block Trading, Rule 21.04- Power to Compel Testimony and Production of Documents, and Rule 4.01-...

District Court Denies Kraft’s Motion to Dismiss Claims of Market Manipulation

On June 27, 2016, a federal judge denied Kraft Foods Group Inc.’s (“Kraft”) motion to dismiss a proposed class action against the company for allegedly manipulating the wheat futures market. [1] Harry Ploss, on behalf of himself and a proposed class (“Plaintiffs”), alleged that Kraft manipulated the wheat futures market with the intent to influence prices by engaging in two primary schemes: 1) the “long wheat futures scheme,” whereby Kraft allegedly maintained an “enormous” long position in wheat futures, never intended to be used to meet its commercial needs, with the improper intent to push...

EPAct 2005: A Game Changer for Transmission?

Bracewell Partner David Perlman and Associate Jessica Miller recently co-authored a two-part article for Renewable Energy World discussing a little-known section of the EPAct 2005 that could bring about a so-far quiet revolution in the development of electric transmission. Please visit Renewable Energy World to read Part 1 and Part 2 .

CFTC Seeks Comments Regarding ICE Futures U.S. Rules Governing Trading on Non-Public Information After ICE and NYMEX Interpretations Differ on “Pre-Hedging” Block Trades

The Commodity Futures Trading Commission’s (“CFTC”) is seeking comments regarding an amendment (Submission No. 16-67) ICE Futures U.S. (“ICE”) has proposed to its Block Trade Frequently Asked Questions (“Block Trade FAQ”) to clarify “the extent to which parties may engage in pre-hedging or anticipatory hedging related to the consummation of a block trade.” Specifically, the amendment clarifies that, as a general matter, “Parties to a block trade may engage in pre-hedging or anticipatory hedging of the position that they believe in good faith will result from the consummation of the block...

U.S. Futures Exchanges Disciplinary Actions Report - May 2016

NYMEX NYMEX 15-0150-BC-3 and NYMEX 15-0150-BC-4 EFRP Violation of Rule 538.C – Exchange for Related Positions – Related Position. On August 15, 2014, September 5, 2014 and September 24, 2014, a non-member entity allegedly executed three non-bona fide Exchange for Related Position (“EFRP”) transactions in various energy products. In addition, on August 4, 2014, a second non-member entity allegedly entered into a non-bona fide EFRP transaction on behalf of two managed customer accounts. Both entities failed to evidence an associated related position for the EFRP transactions, thus rendering the...

FERC Accepts CAISO’s Proposed Tariff Amendments Addressing Inoperability of Aliso Canyon

June 2, 2016

On June 1, 2016, the Federal Energy Regulatory Commission (FERC) accepted revisions to the California Independent System Operator (CAISO) tariff to address market conditions associated with the limited operability of the Aliso Canyon natural gas storage facility. [1] Aliso Canyon, one of the largest natural gas storage facilities in the country, has been closed since October 2015, when a large natural gas leak was discovered there. As a result of the closure, concerns were raised about potential reliability issues entering into the high demand summer months, prompting CAISO to file proposed...

CFTC Proposal Creates Jurisdictional Controversy and Uncertainty in the RTO and ISO Markets

On May 10, 2016, the Commodity Futures Trading Commission (“CFTC” or “Commission”) issued a proposed amendment (“May 10 Proposed Amendment”) [1] to a final order issued on March 28, 2013 (the “RTO-ISO Order”) that exempted certain specified transactions of six Regional Transmission Organizations (“RTOs”) and Independent System Operators (“ISOs”) from certain provisions of the Commodity Exchange Act (“CEA”) and other CFTC regulations. [2] The May 10 Proposed Amendment would modify the RTO-ISO Order to state that the exemption provided therein does not prohibit private causes of action pursuant...

U.S. Futures Exchanges Disciplinary Actions Report - April 2016

ICE FUTURES U.S. 2015-025 Spoofing Violation of Rule 4.02(I) – Trade Practice Violations. Allegedly, an individual engaged in a pattern of trading activity in the Coffee “C” (“KC”) Futures market between March 2015 and May 2015 where numerous order book imbalances were created wherein he entered a small order relative to market conditions to buy or sell at the best price on one side and a large order to sell or buy on the opposite side of the market. Once the small order transacted, often the individual would cancel the larger order on the other side of the market. The individual engaged in...

FERC Denies Request for Discovery by Respondent in FERC Enforcement Case

On May 6, 2016, the Federal Energy Regulatory Commission (“FERC” or the “Commission”) issued an order denying ETRACOM LLC (“ETRACOM”) and Michael Rosenberg’s Motion to Require Disclosure of Certain Materials and Information or, in the Alternative, for Issuance of Subpoena. The motion sought certain data from the California Independent System Operator Corp. (“CAISO”) to support ETRACOM’s defense that CAISO “market flaws” are at the bottom of the matter, not market manipulation as alleged by FERC staff. The Commission denied the motion on three grounds: (1) the data is unnecessary; (2) the...

FERC Proceeds With Enforcement Action Against Total Gas & Power North America

On April 28, 2016, the Federal Energy Regulatory Commission (“FERC”) issued an order [1] directing Total Gas & Power North America, Inc. (“TGPNA”) and two natural gas traders (together the “Respondents”) to show cause why they should not be found to have violated the Natural Gas Act’s (“NGA”) prohibition on market manipulation by engaging in a scheme to manipulate natural gas prices in the southwest United States to benefit related financial positions between June 2009 and June 2012. FERC is proposing civil penalties of $213.6 million against TGPNA and $1 million and $2 million against...

U.S. Futures Exchanges Disciplinary Actions Report: March 2016

ICE FUTURES ICE 2014-072 Position Limits; Misc. Violation of Rule 4.04: Conduct Detrimental to the Exchange; and Rule 6.19: Position Limits for Cotton No. 2 Contracts. Allegedly, an entity may have violated Exchange Rule 4.04 when, after Exchange Staff had encouraged the entity to reduce its sizeable position in the July 2014 Cotton No. 2 (“N14 CT”) Futures Contract in a manner consistent with an orderly liquidation for the purpose of complying with the 300 lot position limit in effect at the close of business on the day prior to First Notice Day for the N14 CT Contract, the entity waited...

Industry Groups Alert FERC that the Viability of Contract Formation and Contract Sanctity are at Stake in Review of Initial Decision

On May 22, 2015, the Federal Energy Regulatory Commission (“Commission”) issued Opinion No. 537, [1] reversing the March 28, 2014 Initial Decision [2] in part and remanding for clarification and further findings by the Administrative Law Judge (ALJ). The issues on which the Commission sought clarification through the remand related to the Mobile-Sierra presumption, which the Commission had determined applied to the contracts at issue which had been made pursuant to the WSPP Agreement. [3] The Mobile-Sierra presumption holds that qualifying contracts are just and reasonable under the Federal...

U.S. Futures Exchanges Liberalize Exceptions to Position Limit Aggregation Rules

Effective March 18, 2016 and April 4, 2016 [1] respectively, the major U.S. futures exchanges, ICE Futures U.S., Inc. (“ICE”) and the CME Group exchanges (“CME Group”), [2] have amended their rules regarding aggregation of positions for purposes of determining compliance with applicable position limits and accountability levels. ICE amended Rule 6.12—Aggregation of Positions [3] and CME Group has amended Rule 559.E—Limited Exceptions to Aggregation for Independently Controlled Accounts. [4] As a result of the amendments, aggregation standards will be more straightforward and will better track...

U.S. Futures Exchanges Disciplinary Actions Report: February 2016

Disciplinary Actions ICE FUTURES ICE 2012-038 Block Trades Violation of Rule 4.07(c) - Block Trading. Allegedly, an entity violated ICE Futures U.S. ("IFUS") Rule 4.07(c) by failing to report a 180 lot block trade, that was erroneously submitted to IFUS as a 180 lot exchange for physical transaction, within the 5 minute reporting window for block trades in Russell 2000 Index Mini Futures Contracts. $25,000 fine. CME GROUP CME 14-0004-BC Misc. Violation of Rule 432(c) and (g) - General Offenses (in part). A non-member individual allegedly executed multiple round-turn transactions in various E...

U.S. Futures Exchanges Disciplinary Actions Report: January 2016

**To make our monthly futures exchange reports more concise and user-friendly, we have narrowed the scope to cover relevant enforcement actions and generally not to cover routine exchange issuances. Disciplinary Actions CME GROUP CME 13-9587-BC-3 Pre-Arranged Trades Violation of Rules 521 - Requirements for Open Outcry Trades (in part); 539 - Prearranged, Pre-negotiated and Noncompetitive Trades Prohibited (in part). On more than one occasion between July 9, 2013, and July 31, 2015, a member allegedly executed a portion of customer orders that was not bid openly and competitively in the pit...

TOTAL Challenges Legality of FERC Enforcement Processes

On January 27, 2016, TOTAL Gas & Power North America, Inc. ("TGPNA") and two natural gas traders filed a complaint for declaratory relief in the U.S. District Court for the Western District of Texas against the Federal Energy Regulatory Commission ("FERC") claiming that FERC intends to violate TGPNA's statutory and constitutional rights by proceeding with an administrative enforcement action against the company for alleged violations of the Natural Gas Act's ("NGA") prohibition on market manipulation. [1] TGPNA's complaint represents a direct attack on the legality of FERC's existing...

Monthly Futures Exchange Issuance Report: December 2015

December's Highlight On November 4, 2015, the Chairman of the CFTC, Timothy Massad, gave a speech to the Futures Industry Association Futures and Options Expo, in which he focused on the subject of swap data reporting. The Chairman noted the importance of data reporting to swap regulation generally and lauded the progress that has been made since Dodd-Frank. However, despite the significant progress in swap data reporting, the Chairman stressed that improvements to the reporting system are still necessary and that swap dealers need to improve the quality of their reporting, focusing on...

Supreme Court Upholds FERC's Demand Response Rule, Order No. 745

In a closely watched case with potential impacts across a broad swath of the electric energy industry, on January 25, 2016, the U.S. Supreme Court reversed the D.C. Circuit's May 2014 ruling in EPSA v. FERC and instead upheld the Federal Energy Regulatory Commission's (FERC) demand response rule, Order No. 745, thereby affirming FERC's jurisdiction to regulate wholesale markets. FERC issued Order No. 745 with the aim of encouraging participation of demand resources - generally industrial and other large energy users that can reduce or forego energy consumption during certain periods - in...

CFTC Settles Gas Index Manipulation Claim While FERC Allegations Remain

CFTC Order Accepting Settlement with Total Gas & Power North America, Inc. & Therese Tran for Attempted Manipulation of Natural Gas Monthly Index Settlement Prices On December 7, 2015, the Commodity Futures Trading Commission ("CFTC" or the "Commission") issued an order instituting proceedings, making findings, and imposing sanctions (" Settlement Order ") to resolve charges against Total Gas & Power North America, Inc. ("TGPNA") and one of its natural gas traders, Therese Tran, for attempted manipulation of natural gas monthly index settlement prices. The Settlement Order...

Monthly Futures Exchange Issuance Report: November 2015

November's Highlight In November there were a significant number of disciplinary actions across the exchanges related to pre-arranged trading, including the execution of block trades. The exchanges clearly continue to focus on these types of violations and market participants should be conscious of the rules for pre-arranged trading and the entry of block trades. The fines for these violations can be significant and can include suspensions. For example, this month an entity was fined $70,000 for the actions its traders took to enter buy and sell orders opposite one another to transfer...

Monthly Futures Exchange Issuance Report: October 2015

October's Highlight October saw the first criminal conviction pursuant to Section 4c(a) for spoofing. A jury concluded that for approximately three months, an individual used a computer algorithm to place orders he did not intend to execute for the purpose of giving the impression that there was significant interest in orders he placed on the other side of the market. The individual and his trading company had already settled allegations of spoofing with multiple CME Group exchanges (CBOT, CEI, CME, and NYMEX) as well as the CFTC in 2013. The CFTC settlement required both to pay a $1.4...

Monthly Futures Exchange Issuance Report: September 2015

September's Highlight September saw a handful of settlements of ICE Futures enforcement actions related to position limit violations under Rule 6.20(b). The settlements of these actions included monetary fines, disgorgement of profits, and cease and desist orders. Of note, an action related to a single, self-reported violation of the applicable spot month position limit under Rule 6.20(b) resulted in a $35,000 fine and a cease and desist order. These settlements serve as reminders that position limits are tracked intra-day and to the single lot, and exceeding a position limit is a per se...

Monthly Futures Exchange Issuance Report: August 2015

August's Highlight This past month, the NYMEX Business Conduct Committee ("Panel") entered into a settlement with an entity to resolve alleged violations of Exchange Rule 526- Block Trades and two Market Regulation Advisory Notices, RA1326-4 and RA-1327-4, related to pre-hedging of block trades. The settlement resulted in a fine of $50,000 and disgorgement of $51,315.60 in profits, as well as a $15,000 fine and 5-day suspension against the individual trader involved. Specifically, the Panel found that on four different trade dates the trader pre-hedged block trades by "trading on Globex...

BP Initial Decision: The Significance of Change

On August 13, 2015, the administrative law judge ("ALJ") assigned to hear evidence in BP America Inc. et. Al (Docket No. IN13-15) issued an Initial Decision in which she found that BP America Inc., and certain of its affiliates (collectively "BP") engaged in market manipulation by intentionally trading to influence index prices to benefit a related financial position. Putting aside the merits of the BP case, the Initial Decision is a good reminder of the kind of circumstantial evidence that regulators might interpret as indicia of manipulation. The reoccurring theme is CHANGE. Whether it be...

BP Initial Decision Adopts FERC Staff's Positions

Seven years after the Federal Energy Regulatory Commission ("FERC" or the "Commission") first opened an investigation into the trading practices of BP America Inc. and certain of its affiliates (collectively "BP"), on August, 13, 2015, Administrative Law Judge Carmen Cintron ("ALJ Cintron") issued her Initial Decision in the case of BP America Inc. , finding that "BP engaged in market manipulation" by "intentionally [selling] large volumes of next-day physical gas at HSC in a way designed to benefit their corresponding short financial positions." [1] ALJ Cintron agreed with FERC Staff...

Monthly Futures Exchange Issuance Report: July 2015

July's Highlight Exchange for related positions ("EFRPs") involve an off-Exchange execution of an Exchange contract and, on the opposite side of the market, the simultaneous execution of an equivalent quantity of the corresponding cash or physical position (Exchange for Physical- "EFP"); corresponding related OTC swap or OTC derivative (Exchange for Swap- "EFS"); corresponding futures contract (Exchange for Risk- "EFR"); or the corresponding related OTC option position (Exchange of Options for Options- "EOO"). EFRPs can be great trading tools, offering users the ability to engage in...

CFTC v. Kraft Foods: What is Market Manipulation?

The Commodity Futures Trading Commission (CFTC) is engaged in its first court battle interpreting its new anti-manipulation authority under the Commodity Exchange Act (CEA) as amended by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank): CFTC v. Kraft Foods Group, Inc. and Mondelēz Global LLC . [1] The case involves allegations that Kraft Foods manipulated the wheat futures and cash markets in 2011. While the case is still in its infancy, and additional facts may come to light that clarify the CFTC's position, the Complaint can be read to suggest that conduct...

Monthly Futures Exchange Issuance Report: June 2015

This report summarizes material notices from CME Group and ICE Futures, with a particular focus on energy. It is not intended to be a comprehensive review of each and every notice issued by these Exchanges. June Highlight CME Group has released a Webinar on Block Trades summarizing the regulatory requirements in relation to block trades in eligible CME, CBOT, NYMEX, and COMEX products, including minimum block thresholds, pricing, reporting, and important requirements around the use of non-public information. Block trades - large, privately negotiated trades that meet minimum quantity...

Scope of Trial De Novo Debated in Barclays Electricity Manipulation Case

After almost eight years since the Federal Energy Regulatory Commission (FERC) commenced its investigation against Barclays Bank PLC (Barclays) and four of its traders, Scott Connelly, Daniel Brin, Karen Levine and Ryan Smith, for allegedly manipulating the California electricity markets, Barclays filed its answer in federal district court. As expected, Barclays denied all of FERC's substantive allegations and asserted that the District Court should give no merit to FERC's findings of fact or legal conclusions. FERC, according to Barclays and the individual traders, must prove its case before...

FERC Accepts PJM Capacity Performance Proposal

On June 9, 2015, FERC issued an order accepting PJM's proposal to modify its forward capacity market, the Reliability Pricing Model ("RPM"), to establish a new capacity product, the Capacity Performance Resource. PJM's proposal is designed to tighten the performance standards applicable to resources that receive a capacity obligation through the RPM and is intended to address poor resource performance that has been experienced since implementation of the RPM, especially during the 2014 polar vortex. Once implemented, PJM's proposal will impose more stringent performance standards on...

Monthly Futures Exchange Issuance Report: May 2015

This report summarizes material notices from CME Group and ICE Futures, with a particular focus on energy. It is not intended to be a comprehensive review of each and every notice issued by these Exchanges. May's Highlight This past month, CME Group released Market Regulation Advisory Notice RA1506-5, which conveniently combines in one location all of CME Group's prior regulatory guidance on block trades in CME, CBOT, NYMEX, and COMEX products. CME Group has been giving increasing scrutiny to block trades in recent years and unfamiliarity with the specific rules related to such trades could...

FERC Finds Manipulation Violations by Company and Trader that Complied with Tariff but did not Act to Further Market Design Goals

On May 29, 2015, the Federal Energy Regulatory Commission (FERC) issued an Order Assessing Civil Penalties against Powhatan Energy Fund and its affiliates as well as against Houlian Chen, Powhatan's chief trader, for violating FERC's anti-manipulation rule. FERC ordered Powhatan to pay $28.8 million in penalties and over $4.7 million in disgorgement and it ordered Chen to pay an additional $1 million penalty. In this assessment order, FERC rejected all of Powhatan's arguments and instead adopted the Division of Enforcement's recommendations on the facts, the law and the penalty amounts. The...

Federal District Court Denies Barclays Motion to Dismiss FERC Petition Which Alleges Manipulation and Assesses Significant Penalties

For the past two years we have been tracking and reporting on an enforcement proceeding brought by the Federal Energy Regulatory Commission ("FERC") against Barclays Bank PLC ("Barclays"), Daniel Brin, Scott Connelly, Karen Levine, and Ryan Smith (collectively, the "Traders" and together with Barclays, "Defendants") for alleged manipulative trading in the western electricity markets from November 2006 to December 2008. Yesterday, the United States District Court for the Eastern District of California denied a motion by the Defendants to dismiss the manipulation action. Although the court'...

Monthly Futures Exchange Issuance Report: April 2015

This report summarizes material notices from CME Group and ICE Futures, with a particular focus on energy. It is not intended to be a comprehensive review of each and every notice issued by these Exchanges. On April 21, 2015, the CFTC announced via press release that charges had been filed against a resident of the United Kingdom ("UK"), Navinder Singh Sarao ("Sarao"), and his company, Nav Sarao Futures Limited PLC, for price manipulation and spoofing. The charges came after a comprehensive investigation of Sarao's trading activity by the CFTC, which included assistance from the SEC, DOJ,...

Monthly Futures Exchange Issuance Report: February 2015

February's Highlight This month, CME Group announced fines totaling $1.75 million against derivatives broker Newedge USA for violations of exchange rules in certain metal markets over the course of two years. Newedge agreed to the fine pursuant to an offer of settlement in which Newedge neither admitted nor denied the rule violations upon which the penalty was based. Specifically, Panels for both the NYMEX Business Conduct Committee and the COMEX Business Conduct Committee found that Newedge violated exchange Rule 432, Rule 529, Legacy Rule 538.A, Legacy Rule 538.G, and Legacy Rule 538.H.,...

Monthly Futures Exchange Issuance Report - January 2015

January's Highlight The exchanges are starting off 2015 with a continued focus on investigating and penalizing violations of disruptive trading practices, as well as pre-arranged trading and block trading. These three categories represented a large majority of the exchanges' enforcement efforts in 2014, and from what we saw in January, they will continue to remain a focus going forward. On this note, this month the ICE Futures Exchange will implement an amendment to Rule 4.02, adding section (l) to consolidate rules that prohibit disruptive trading practices. The new text of Rule 4.02(l)...

FERC Confirms the Long Reach of Open Access Requirements

This week the Federal Energy Regulatory Commission (FERC) put to rest any doubt that transmission rights pursuant to a pre-Order No. 888 transmission service agreement are subject to the FERC's open access regime when the agreement is modified or becomes obsolete. In the same order, FERC found that a so-called "resale tariff" is only permissible where a jurisdictional transmission provider seeks to resell transmission rights on a non-jurisdictional transmission provider's facilities"”where the resale could not be facilitated under a FERC-approved Open Access Transmission Tariff (OATT). FERC'...

Paper Company, Arguing that FERC Lacks Jurisdiction over Demand Response, Files Motion to Dismiss FERC Manipulation Action

February 27, 2014

On December 2, 2013, FERC filed a Petition for an order affirming its assessment of a civil penalty in the District of Massachusetts against Lincoln Paper and Tissue, LLC ("Defendant"), alleging that the Defendant engaged in a manipulative scheme as a retail customer in the electricity market in order to receive additional profits in a "demand response" program run by ISO New England, Inc ("ISO-NE"). [1] As in FERC v. Barclays , the court's resolution of this case may significantly affect the scope of FERC's anti-manipulation enforcement authority going forward. On February 14, 2014, the...

FERC Responds to Barclays Motion to Dismiss as Without Merit and so Aggressive That if Granted it Could "Eviscerate" FERC's Ability to Regulate Wholesale Power Markets

February 26, 2014

On July 16, 2013, the Federal Energy Regulatory Commission ("FERC") issued an order finding Barclays Bank PLC ("Barclays"), Daniel Brin, Scott Connelly, Karen Levine, and Ryan Smith (together with Barclays, "Defendants") in violation of FERC's anti-manipulation regulations and assessed significant penalties. [1] The Defendants chose to have the validity of the order tried de novo in federal district court, and on December 16, 2013, filed a Motion to Dismiss the FERC action. [2] On February 14, 2014, FERC filed an Opposition to the Motion to Dismiss previously filed by the Defendants. This...

Could You Be A Commodity Trading Advisor or Commodity Pool Operator and Not Know It?

February 19, 2014

As the Commodity Futures Trading Commission's ("CFTC") Division of Swap Dealer and Intermediary Oversight recently reminded market participants in a Staff Advisory , entities that meet the definition of a commodity trading advisor ("CTA") are subject to various regulatory requirements and may be required to register as a CTA with the National Futures Association ("NFA"). The Staff Advisory is an indication that the CFTC is turning to compliance with its regulatory and registration requirements now that the rulemaking process of the Dodd-Frank Act is finishing. Given this transition, as...

Barclays Motion to Dismiss Raises Significant Issues About FERC Jurisdiction

After an investigation of actions in the western electricity markets by Barclays Bank PLC ("Barclays"), Daniel Brin, Scott Connelly, Karen Levine, and Ryan Smith (collectively, the "Traders" and together with Barclays, "Defendants"), the Federal Energy Regulatory Commission ("FERC") issued an order finding the Defendants in violation of FERC's anti-manipulation regulations and assessing Barclays a $435 million civil penalty, assessing each Trader an individual civil penalty, and requiring disgorgement of $34.9 million plus interest in unjust profits. [i] In accordance with the Defendants...

CFTC Exercises Disruptive Trading Authority for the First Time

By order dated July 22, 2013, the Commodity Futures Trading Commission ("CFTC" or "Commission") settled charges against Panther Energy Trading LLC and its principal Michael Coscia for engaging in the disruptive trading practice known as "spoofing." The CFTC charged that Panther and Coscia used a computer algorithm that was designed to illegally place and quickly cancel bids and offers in futures contracts. The CFTC ordered Panther and Coscia to pay civil penalties of $1.4 million and to disgorge an additional $1.4 million in illegal profits. Coscia was also given a one year ban on trading...

FERC Assesses Record Civil Penalty But the Story Is Just Beginning

By Order dated July 16, 2013 the Federal Energy Regulatory Commission (FERC) assessed civil penalties against Barclays Bank Plc. and four of its traders - Daniel Brin, Scott Connelly, Karen Levine and Ryan Smith (Order). The Order is notable for its size and scope. Barclays was fined $435 million, the largest in FERC's history. Connelly was fined $15 million dollars and Levine and Smith were each fined $1 million. Barclays was also ordered to disgorge $34.9 million in profits. Beyond the size and scope of the Order, this matter is notable for the procedural path it is on. Rather than...

PJM IBTs - What Is Going On?

There is another development in the PJM Internal Bilateral Transactions (IBT) saga. PJM appears to have indirectly threatened to investigate parties that seek to comment on and help resolve the generic issues raised by PJM's interpretation of its tariff and statements concerning the scope of market participants affected by its interpretation of the "physicality" requirement of its tariff concerning IBTs. Originally, PJM indicated that only three market participants were affected; however, the number of affected participants now appears to be both undetermined and possibly much greater due to...

Electricity Buy/Sells: Permitted, Prohibited, or Simultaneous Exchanges?

Recently the Federal Energy Regulatory Commission clarified the regulatory status of a type of energy transaction called a "Simultaneous Exchange." However, at the same time, the Commission has created ambiguity in a related area. That is, whether electricity Buy/Sell transactions are prohibited by the Commission's orders and regulations. Previously, market participants have understood the answer to be "no." Statements by the Commission in this order give rise to questions about how the Commission views such transactions and, given the definition of Simultaneous Exchanges established by...

Companies File Rehearing Requests on PJM Western Hub IBT Issue

April 17, 2012

As previously noted in an Energy Legal Blog post on March 19 , in an order resolving a complaint filed by DC Energy, LLC and DC Energy Mid"Atlantic, LLC against PJM Interconnection LLC (PJM), the Federal Energy Regulatory Commission (FERC) has ruled that in order for an Internal Bilateral Transaction (IBT) to be "reported to" PJM, it must meet a newly clarified physicality test set forth in Section 1.7.10 of the PJM Tariff (March 9th Order) . Our previous blog post on this subject pointed out that the application of the March 9th Order may have a significant impact on forward transactions...

FERC Order Appears to Find Most PJM Internal Bilateral Transactions Improper

March 19, 2012

In an order resolving a complaint filed by DC Energy, LLC and DC Energy Mid-Atlantic, LLC against PJM Interconnection LLC (PJM), 1 the Federal Energy Regulatory Commission (FERC) has ruled that in order for an Internal Bilateral Transaction (IBT) to be "reported to" PJM, it must meet a newly clarified physicality test set forth in Section 1.7.10 of the PJM Tariff. The application of this order may have a significant impact on forward transactions in PJM, particularly those with a PJM Western Hub delivery point. Trading hubs, such as the PJM Western Hub, were created to provide a vehicle for...

Noteworthy

Noteworthy

Chambers USA
Nationwide Energy: Oil & Gas (Regulatory & Litigation), 2016 - 2018
The Legal 500 United States
Energy Regulatory: Oil and Gas, 2017 - 2018; Energy: Regulatory, 2013-2014; Energy Litigation: Conventional Power, 2018; Alternative/Hedge Funds, 2015-2017;

Events

Past Events

Bracewell to Sponsor WSPP Fall Meeting

October 12, 2016
October 14, 2016

ACI's Energy Trading Compliance Conference

Washington, D.C.
November 16, 2015
November 17, 2015

PJM's Capacity Performance Product

Houston
April 23, 2015

ACI Energy Trading Compliance Panel

Washington
November 21, 2013

Power Markets Conference 2013

Westborough
October 30, 2013

EEI's CFTC Dodd-Frank Compliance Forum

Washington
October 17, 2013

2013 Transmission Business School

Chicago
June 17, 2013
June 20, 2013

Uncharted Territory

Houston
December 12, 2012

Update on Dodd-Frank

Houston
July 18, 2012