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Vanderbilt Law Review

First Page

1349

Abstract

This Note examines the various avenues of redress available to the defrauded commodity futures investor. Initially, an examination of two remedies expressly provided in the Commodity Exchange Act (CEA)--reparations and arbitration--demonstrates their current inefficiencies and inadequacies. Next, the Note considers the possibility of recovery under the antifraud provision of the Securities Exchange Act and argues that such a cause of action should still be available when the investor can show that the particular discretionary trading account is a security." Finally, a discussion of an implied private right of action for violations of the antifraud provision of the CEA reveals much confusion and dispute about its existence and concludes that it should not be permitted at the present time. Ultimately, this Note suggests that the uncertainty surrounding these possible methods of recovery demands that Congress give further consideration to these issues."

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