State Codes and Statutes

State Codes and Statutes

Statutes > North-carolina > Chapter_78D > GS_78D-1

Chapter78D.

Commodities Act.

Article 1.

Scope.

§ 78D‑1.  Definitions.

(1)        "Administrator"means the Secretary of State.

(2)        "Board ofTrade" means any person or group of persons engaged in buying or sellingany commodity or receiving the same for sale on consignment, whether suchperson or group of persons is characterized as a board of trade, exchange orother form of marketplace.

(3)        "CFTCRule" means any rule, regulation or order of the Commodity Futures TradingCommission in effect on October 1, 1989, and all subsequent amendments,additions or other revisions thereto, unless the Administrator, within 10 daysfollowing the effective date of any such amendment, addition or revision,disallows the application thereof to this Part or to any provision thereof byrule, regulation or order.

(4)        "Commodity"means, except as otherwise specified by the Administrator by rule, regulationor order, any agricultural, grain or livestock product or by‑product, anymetal or mineral (including a precious metal set forth in subdivision (13) ofthis section), any gem or gemstone (whether characterized as precious, semi‑preciousor otherwise), any fuel (whether liquid, gaseous or otherwise), any foreigncurrency, and all other goods, articles, products or items of any kind; providedthat the term commodity shall not include (i) a numismatic coin whose fairmarket value is at least fifteen percent (15%) higher than the value of themetal it contains, (ii) real property or any timber, agricultural or livestockproduct grown or raised on real property and offered or sold by the owner orlessee of such real property or (iii) any work of art offered or sold by artdealers, at public auction or offered or sold through a private sale by theowner thereof.

(5)        "CommodityContract" means any account, agreement or contract for the purchase orsale, primarily for speculation or investment purposes and not for use orconsumption by the offeree or purchaser, of one or more commodities, whetherfor immediate or subsequent delivery or whether delivery is intended by theparties, and whether characterized as a cash contract, deferred shipment ordeferred delivery contract, forward contract, futures contract, installment ormargin contract, leverage contract or otherwise.  Any commodity contractoffered or sold shall, in the absence of evidence to the contrary, be presumedto be offered or sold for speculation or investment purposes.  A commoditycontract shall not include any contract or agreement which requires, and underwhich the purchaser receives, within 28 calendar days from the payment in goodfunds of any portion of the purchase price, physical delivery of the totalamount of each commodity to be purchased under the contract or agreement.

(6)        "CommodityExchange Act" means the act of Congress known as the Commodity ExchangeAct, as amended to October 1, 1989, codified at 7 U.S.C. § 1, et seq. and allsubsequent amendments, additions or other revisions thereto, unless theAdministrator, within 10 days following the effective date of any suchamendment, addition or revision, disallows the application thereof to this Partor to any provision thereof by rule, regulation or order.

(7)        "CommodityFutures Trading Commission" means the independent regulatory agencyestablished by Congress to administer the Commodity Exchange Act.

(8)        "CommodityMerchant" means any of the following as defined or described in theCommodity Exchange Act or by CFTC Rule:

a.         Futures commissionmerchant;

b.         Commodity pooloperator;

c.         Commodity tradingadvisor;

d.         Introducing broker;

e.         Leverage transactionmerchant;

f.          An associatedperson of any of the foregoing;

g.         Floor broker; and

h.         Any other person(other than a futures association) required to register with the CommodityFutures Trading Commission.

(9)        "Commodity Option"means any account, agreement or contract giving a party thereto the right butnot the obligation to purchase or sell one or more commodities and/or one ormore commodity contracts, whether characterized as an option, privilege,indemnity, bid, offer, put, call, advance guaranty, decline guaranty orotherwise, but shall not include an option traded on a national securitiesexchange registered with the United States Securities and Exchange Commission.

(10)      "FinancialInstitution" means a bank, savings institution or trust company organizedunder, or supervised pursuant to, the laws of the United States or of anystate.

(11)      "Offer"includes every offer to sell, offer to purchase, or offer to enter into acommodity contract or commodity option.

(12)      "Person"means an individual, a corporation, a partnership, association, a joint‑stockcompany, a trust where the interests of the beneficiaries are evidenced by asecurity, an unincorporated organization, a government, or a politicalsubdivision of a government, but shall not include a contract market designatedby the Commodity Futures Trading Commission or any clearinghouse thereof or anational securities exchange registered with the Securities and ExchangeCommission (or any employee, officer or director of such contract market,clearinghouse or exchange acting solely in that capacity).

(13)      "PreciousMetal" means the following in either coin, bullion or other form:

a.         Silver;

b.         Gold;

c.         Platinum;

d.         Palladium;

e.         Copper; and

f.          Such other items asthe Administrator may specify by rule.

(14)      "Sale" or"sell" includes every sale, contract of sale, contract to sell, ordisposition, for value. (1989, c. 634, s. 1.)