Definitions.

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As used in this article, unless the context otherwise requires:

  1. "Board of trade" means any person or group of persons engaged in buying or sellingany commodity or receiving the same for sale on consignment, whether such person or group of persons is characterized as a board of trade, exchange, or other form of marketplace.

  2. "CFTC rule" means any rule, regulation, or order of the commodity futures tradingcommission in effect on July 1, 1989, and all subsequent amendments, additions, or other revisions thereto, unless the commissioner, within ten days following the effective date of any such amendment, addition, or revision, disallows the application thereof to this article or to any provisions thereof by rule.

  3. "Commissioner" means the commissioner of securities created by section 11-51-701.

  4. "Commodity" means, except as otherwise specified by the commissioner by rule,regulation, or order, any agricultural, grain, or livestock product or by-product, any metal or mineral (including a precious metal as defined in subsection (13) of this section), any gem or gemstone (whether characterized as precious, semi-precious, or otherwise), any foreign currency, and all other goods, articles, products, or items of any kind. The term "commodity" shall not include:

  1. A numismatic coin whose fair market value is at least fifteen percent higher than thevalue of the metal it contains;

  2. Real property or any timber, agricultural, or livestock product grown or raised on realproperty and offered or sold by the owner or lessee of such property; or

  3. Any work of art offered or sold by art dealers, at public auction or offered or soldthrough a private sale by the owner thereof.

  1. "Commodity contract" means any account, agreement, or contract for the purchase orsale, primarily for speculation or investment purposes and not for use or consumption by the offeree or purchaser, of one or more commodities, whether for immediate or subsequent delivery or whether delivery is intended by the parties, and whether characterized as a cash contract, deferred shipment or deferred delivery contract, forward contract, futures contract, installment or margin contract, leverage contract, or otherwise. A commodity contract shall not include any contract or agreement which requires, and under which the purchaser receives, within twentyeight calendar days from the payment in good funds of any portion of the purchase price, physical delivery of the total amount of each commodity to be purchased under the contract or agreement.

  2. "Commodity exchange act" means the federal "Commodity Exchange Act", as amended, unless the commissioner, within ten days following the effective date of any amendment, addition, or revision thereto, disallows the application thereof to this article or to any provisions thereof by rule.

  3. "Commodity futures trading commission" means the federal commission establishedby the commodity exchange act.

  4. "Commodity merchant" means any of the following as defined or described in thecommodity exchange act or by CFTC rule:

  1. Futures commission merchant;

  2. Commodity pool operator;

  3. Commodity trading advisor;

  4. Introducing broker;

  5. Leverage transaction merchant;

  6. An associated person of any of the foregoing;

  7. Floor broker; and

  8. Any other person (other than a futures association) required to register with the commodity futures trading commission.

  1. "Commodity option" means any account, agreement, or contract giving a party thereto the right but not the obligation to purchase or sell one or more commodities or one or more commodity contracts, whether characterized as an option, privilege, indemnity, bid, offer, put, call, advance guaranty, decline guaranty, or otherwise, but shall not include an option traded on a national securities exchange registered with the securities and exchange commission.

  2. "Financial institution" means a bank, savings institution, or trust company organized under, or supervised pursuant to, the laws of the United States or of any state.

  3. "Offer" includes every offer to sell, offer to purchase, or offer to enter into a commodity contract or commodity option.

  4. "Person" means an individual, a corporation, a partnership, an association, a jointstock company, a trust where the interests of the beneficiaries are evidenced by a security, an unincorporated organization, a government, or a political subdivision of a government but does not include the commodity futures trading commission or any clearinghouse thereof or a national securities exchange registered with the securities and exchange commission (or any employee, officer or director of such contract market, clearinghouse, or exchange acting solely in that capacity).

  5. "Precious metal" means the following in either coin, bullion, or other form:

  1. Silver;

  2. Gold;

  3. Platinum;

  4. Palladium;

  5. Copper; and

  6. Such other items as the commissioner may specify by rule, regulation, or order.

  1. "Sale" or "sell" includes every sale, contract of sale, contract to sell, or disposition,for value.

  2. "Securities and exchange commission" means the commission established by the"Securities Exchange Act of 1934".

  3. "Securities Exchange Act of 1934" and "Investment Company Act of 1940" meanthe federal statutes of those names as amended, unless the commissioner, within ten days following the effective date of any amendment, addition, or revision thereto, disallows the application thereof to this article or to any provision thereof by rule.

Source: L. 89: Entire article R&RE, p. 629, § 1, effective July 1. L. 90: (3) amended, p. 740, § 3, effective July 1.

Cross references: For the "Commodity Exchange Act", see Pub.L. 67-331, codified at 7

U.S.C. § 1 et seq.; for the "Securities Exchange Act of 1934", see Pub.L.. 73-291, codified at 15 U.S.C. § 78a et seq.; for the "Investment Company Act of 1940", see Pub.L. 76-768, codified at 15 U.S.C. § 80a-1 et seq.


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