---
kind: "section"
citation: "31 C.F.R. § 1026.100"
title: "31"
number: "1026.100"
heading: "Definitions."
url: "https://uscodex.org/cfr/31/1026.100"
---

# §1026.100. Definitions.


Refer to [§ 1010.100](/cfr/31/1010.100.md) of this chapter for general definitions not noted herein. To the extent there is a differing definition in [§ 1010.100](/cfr/31/1010.100.md) of this chapter, the definition in this section is what applies to [part 1026](/cfr/31/part1026.md). Unless otherwise indicated, for the purposes of this part:

- (a) **Account.** For purposes of [§ 1026.220](/cfr/31/1026.220.md):
  - (1) Account means a formal relationship with a futures commission merchant, including, but not limited to, those established to effect transactions in contracts of sale of a commodity for future delivery, options on any contract of sale of a commodity for future delivery, or options on a commodity.
  - (2) **Account—** does not include:
    - (i) An account that the futures commission merchant acquires through any acquisition, merger, purchase of assets, or assumption of liabilities; or
    - (ii) An account opened for the purpose of participating in an employee benefit plan established under the Employee Retirement Income Security Act of 1974.
- (b) Commodity means any good, article, service, right, or interest described in Section 1a(4) of the Commodity Exchange Act ([7 U.S.C. 1a(4)](/usc/7/1a.md?p=4)).
- (c) Contract of sale means any sale, agreement of sale or agreement to sell as described in Section 1a(7) of the Commodity Exchange Act ([7 U.S.C. 1a(7)](/usc/7/1a.md?p=7)).
- (d) **Customer.** For purposes of [§ 1026.220](/cfr/31/1026.220.md):
  - (1) **Customer—** means:
    - (i) A person that opens a new account with a futures commission merchant; and
    - (ii) **An individual who opens a new account with a futures commission merchant for—**
      - (A) An individual who lacks legal capacity; or
      - (B) **An entity that is not a legal person.**
  - (2) **Customer—** does not include:
    - (i) A financial institution regulated by a Federal functional regulator or a bank regulated by a state bank regulator;
    - (ii) A person described in [§ 1020.315(b)(2) through (4)](/cfr/31/1020.315.md?p=b-2..b-4) of this Chapter; or
    - (iii) A person that has an existing account, provided the futures commission merchant or introducing broker has a reasonable belief that it knows the true identity of the person.
  - (3) When an account is introduced to a futures commission merchant by an introducing broker, the person or individual opening the account shall be deemed to be a customer of both the futures commission merchant and the introducing broker for the purposes of this section.
- (e) **Financial institution—** is defined at 31 U.S.C. [5312(a)(2)](/usc/31/5312.md?p=a-2) and [(c)(1)](/usc/31/5312.md?p=c-1).
- (f) Futures commission merchant means any person registered or required to be registered as a futures commission merchant with the Commodity Futures Trading Commission (“CFTC”) under the Commodity Exchange Act ([7 U.S.C. 1](/usc/7/1.md) et seq.), except persons who register pursuant to Section 4f(a)(2) of the Commodity Exchange Act ([7 U.S.C. 6f(a)(2)](/usc/7/6f.md?p=a-2)).
- (g) Introducing broker means any person registered or required to be registered as an introducing broker with the CFTC under the Commodity Exchange Act ([7 U.S.C. 1](/usc/7/1.md) et seq.), except persons who register pursuant to Section 4f(a)(2) of the Commodity Exchange Act ([7 U.S.C. 6f(a)(2)](/usc/7/6f.md?p=a-2)).
- (h) Option means an agreement, contract or transaction described in Section 1a(26) of the Commodity Exchange Act ([7 U.S.C. 1a(26)](/usc/7/1a.md?p=26)).

## Notes

### Authority

Authority: 12 U.S.C. 1829b and 1951-1959; 31 U.S.C. 5311-5314 and 5316-5332; title III, sec. 314, Pub. L. 107-56, 115 Stat. 307; sec. 701, Pub. L. 114-74, 129 Stat. 599.

### Source

Source: 75 FR 65812, Oct. 26, 2010, unless otherwise noted.