CFTC Allows Exceptions From Sending Annual Privacy Notices

The CFTC approved a proposed rule to amend Rule 160.5, which requires certain "covered persons" (i.e., FCMs, RFEDs, CTAs, CPOs, IBs, MSPs and SDs) to provide annual privacy notices to customers at least once a year during the life of the customer relationship. The proposed revisions implement the Fixing America's Surface Transportation Act's (FAST Act) December 2015 statutory amendment to the Gramm-Leach-Bliley Act ("GLB Act").

Under the proposed rule, these annual privacy notices would no longer be required where certain conditions are satisfied, i.e., where the covered person:

• "provides nonpublic personal information to nonaffiliated third parties only in accordance with the provisions of [Rules] 160.13, 160.14, 160.15 and any other exceptions adopted by the Commission pursuant to" GLB Act Section 504(b); and