DTCC Public (White)

END-USER CLEARING EXCEPTION/EXEMPTION 

INSTRUCTIONS & FORM

Section 2(h)(7)(A) of the CEA and CFTC Regulations 50.50 and 50.51, as well as applicable CFTC Letters, 

provide for a number of exceptions and an exemption from required clearing for swaps entered into by certain 

non-financial end users, financial cooperatives, treasury affiliates, bank holding companies and savings and 

loan holding companies, and community development financial institutions (collectively, the “End-User 

Exception”). 

Reporting obligations may be satisfied on either a swap-by-swap or annual basis. Each counterparty 

claiming the End-User Exception (“Electing Counterparty”) from clearing swaps that are reported to the 

DTCC Data Repository (U.S.) LLC (“DDR”), may provide the required information on an annual form to 

DDR (“Annual End-User Clearing Exception/Exemption Form”). 

The following elections and representations must be reported by the Reporting Entity, as defined in CFTC 

Regulation 49.2 (“Reporting Entity”), on each swap they submit where the End-User Exception has been 

elected: 

1. Notice of election of the End-User Exception; 

2. The identity of the counterparty(s) making the election; and 

3. The type of clearing exception or exemption being claimed. 

The Electing Counterparty must have an Annual End-User Clearing Exception/Exemption Form on file with 

DDR whenever the Electing Counterparty elects the swap-by-swap exception or exemption, unless all 

required information is being reported by the Reporting Entity. 

STEP 1: ON-BOARDING

DDR does not require that Electing Counterparties complete the onboarding process prior to filing the 

Annual End-User Clearing Exception/Exemption Form; however, it is suggested that firms onboard with 

DDR in order to take advantage of other DDR functionality including, viewing position reports and 

validating and disputing the information in swaps for which the Electing Counterparty is a counterparty 

(“alleged swaps”). 

If the Electing Counterparty wants to onboard with DDR it must contact the DDR Onboarding team at gtronboarding@dtcc.com. 

 
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STEP 2: ANNUAL FORM – ELECTING COUNTERPARTY PROCESS

Prior to claiming the End-User Exception for a swap, each Electing Counterparty should complete and return 

an Annual End-User Clearing Exception/Exemption Form; otherwise, all required information must be 

reported by the Reporting Entity. The process for filing an Annual End-User Clearing Exception/Exemption 

Form is as follows: 

1. The Electing Counterparty contact completes the Annual End-User Clearing Exception/Exemption 

Form (located at the end of this document) electronically. 

2. The Electing Counterparty submits the completed Annual End-User Clearing Exception/Exemption 

Form to GTREndUserExemption@dtcc.com . 

ANNUAL END-USER CLEARING EXCEPTION/EXEMPTION FORM 

Until all required information is provided, the Annual End-User Clearing Exception/Exemption Form will 

not be considered complete. 

The information requested on the Annual End-User Clearing Exception/Exemption Form is as follows: 

A) ENTITY INFORMATION

1. Full legal name of the Electing Counterparty; 

2. DTCC Account Number – this is optional. If the Electing Counterparty has a DTCC Account 

Number, it may be provided; and 

3. LEI - each Electing Counterparty must provide this number as a LEI is required pursuant to Part 45 

of the CFTC’s regulations. If the Electing Counterparty is an individual Person, and ineligible to 

register for a LEI, then “Individual” may be entered in this field. 

B) PRIMARY CONTACT INFORMATION

1. Name - the name of the person responsible for filing the Annual End-User Clearing 

Exception/Exemption Form . This information is needed so DDR can contact the person identified 

if there is an issue with the form, if information is not provided or if DDR has questions about the 

information that is provided. 

2. Contact phone. 

3. Contact e-mail. 

C) REQUIRED REGULATORY INFORMATION

1. Financial Entity Status – Pursuant to CFTC Regulation 50.50(b), the Electing Counterparty must 

disclose whether it is a Financial Entity and, if so, what type of Financial Entity. In particular, the 

form includes the following types of Financial Entities: an insured small bank, savings 

association, farm credit system institution or credit union; a captive finance company; an exempt 

cooperative; an eligible treasury affiliate; a bank holding company or savings and loan holding 

company; and a community development financial institution. 

2. Hedge or Mitigate Commercial Risk – This section is required to be checked when the selected 

Financial Entity Status is any other than Exempt Cooperative or Eligible Treasury Affiliate. 

3. Eligible Treasury Affiliate Relief - Consistent with CFTC requirements, this section is required to 

be checked to indicate whether the Reporting Entity has a reasonable basis to believe that the Electing 
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Counterparty meets the conditions contained in CFTC Letter No. 14-144. 

4. Exempt Cooperative - Consistent with the requirements of CFTC Regulation 50.51, this section is 

required to be checked to indicate whether the Reporting Entity has a reasonable basis to believe 

that the Electing Counterparty will only elect the cooperative exemption for: 

 swaps entered into with a member of the exempt cooperative in connection with 

originating a loan or loans for that member, which satisfies the requirements of CFTC 

Regulation 1.3(ggg)(5)(i)-(iii); or 

 swaps that hedge or mitigate commercial risk related to loans to or swaps with 

members (as such swaps are described above). 

5. Financial Obligations – Pursuant to CFTC Regulation 50.50(b), this section is required to be 

checked to indicate how the Electing Counterparty generally meets its financial obligations 

associated with entering into non-cleared swaps. At least one of the choices must be checked, but 

more than one choice may be checked. Additionally, the Electing Counterparty has the option of 

providing information regarding the “other” methods of meeting financial obligations. 

6. Issuer of Securities – Consistent with CFTC requirements, this section is required to be checked 

to indicate whether the Electing Counterparty is an issuer of securities, yes or no. If the Electing 

Counterparty is an issuer of securities, then this section should also indicate whether the Electing 

Counterparty’s appropriate committee of the board of directors (or equivalent body) has reviewed 

and approved the decision to enter into swaps that are not cleared. 

D) SIGNATURE BLOCK

The following information about the person completing the Annual End-User Clearing 

Exception/Exemption Form is required: 

1. Signature –electronic. 

2. Name of the signatory. 

3. Title of the signatory. 

4. Date executed and submitted. 

E) ANNUAL FORM – DDR PROCESS

Once the Electing Counterparty has returned the annual form, DDR will perform the following 

processes: 

1. Each submitted annual form will be reviewed for completeness. If any required field or 

question is left blank, DDR will communicate to the contact person that the form is 

incomplete and will need to be completed fully before processing. 

2. DDR will maintain a tracking spreadsheet showing the Reporting Entity name, the Electing 

Counterparty name, the LEI for each and the date on which the completed annual form was 

filed. 

3. DDR will create a report showing: 1) Reporting Entities and Electing Counterparties to swaps 

that have elected the End-User Exception, and 2) each Electing Counterparty for which a 

valid Annual End-User Clearing Exception/Exemption Form or a Swap-by- Swap Form has 

been submitted. The report will be made available to the CFTC on a weekly basis 

STEP 3: SWAP-BY-SWAP ELECTIONS 

CFTC Regulation 43.4(b) requires that the Reporting Entity indicate on real time messages that the End-
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User Exception has been elected. There is no requirement to identify the party claiming exception or the 

type of exemption being claimed, on real time messages. A True/False flag is provided on the real time 

message for counterparties to indicate that the clearing exception is elected and the flag can exist on either 

party block. 

<!-- This indicates Clearing Exception has been invoked -->

<endUserException>true</endUserException> 

Applicable message types Real-Time 

* The recommendation is that this flag should only be set to “True” on Real Time messages.

CFTC Regulation 45.3 requires the Reporting Entity to the swap to report the election of the End-User 

Exception, the type of clearing exception and identification of the Electing Counterparty, which refers to the 

counterparty(s) making the election. The Reporting Entity to the swap can indicate the Electing Counterparty 

by including a related party reference with the role of “ClearingExceptionParty”, or “Cooperative” as well 

as one of the standard identifiers for the party claiming the exception or exemption. 

DDR will accept the message from its clients and derive the “Clearing Exception Type” field based on the 

on the role provided for the related party as follows. 

a. The “Clearing Exception Type” field will be populated with a value of “End-User” when: 

//partyTradeInformation/relatedParty[role="ClearingExceptionParty"] 

OR 

//tradeHeader/partyTradeInformation/endUserException/text() - has a value of ‘true’ 

Please note that the Part 43 real time message with the enduserexception flag set to true only indicates that 

the exemption is being elected, without identifying the counterparty making the election. In order to satisfy 

the Part 45 requirement that the reporting entity must identify the counterparty that is electing the end user 

exemption, the reporting entity must also send in a PET message identifying the counterparty electing the 

end user exception. 

b. The “Clearing Exception Type” field will be populated with a value of “Cooperative” when: 

//partyTradeInformation/relatedParty[role=”Cooperative”] 

A) FpML 

The related party reference below should be populated on the related party block of the Reporting 

Entity, and reference the Electing Counterparty as the related party. 

The role should be specified as “ClearingExceptionParty” if the clearing exception type is “EndUser”; or “Cooperative” if the clearing exception type is “Cooperative””. 

Example 1: 

Counterparty A claiming an End-User exception: 

For example, if the non-Reporting Entity is the Electing Counterparty, then the party reference should 
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be included on the Reporting Entity’s related party block with reference to the non-Reporting Entity. 

<!-- This indicates Clearing Exception has been invoked for Counterparty A-->

<relatedParty> 

<partyReference href="CounterpartyA"/> 

<role>ClearingExceptionParty</role> 

<!—This role indicates the value of “End-user” should be auto-populated by DDR into the clearing 

exception type field-->

</relatedParty> 

<!-- Prefix and Value for Counterparty A -->

<party id="CounterpartyA"> 

<partyId partyIdScheme="http://www.dtcc.com/coding-scheme/party-id">00001111</partyId> 

Example 2: 

CounterParty A claiming a Cooperative exemption: 

<!-- This indicates Clearing Exception has been invoked for Counterparty A-->

<relatedParty> 

<partyReference href="CounterpartyA"/> 

<role>Cooperative</role> 

<!—This role indicates the value of “Cooperative” should be auto-populated by DDR into the 

clearing exception type field-->

</relatedParty> 

<!-- Prefix and Value for Counterparty A -->

<party id="CounterpartyA"> 

<partyId partyIdScheme="http://www.dtcc.com/coding-scheme/party-id">00001111</partyId> 

Applicable Message Types RT* 

PET 

RT-PET* 

Confirm 

PET-Confirm 

RT-PET-Confirm* 

Snapshot 
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*If the RT message or any of the RT combination messages are sent in with the indication of the party 

claiming exception as opposed to the true/false flag described above, DDR will still disseminate a 

true/false indicator publicly 

B) CSV 

Clearing Exception or Exemption Party Prefix (Conditional) Prefix of the party claiming End-User 

Exception 

Clearing Exception or Exemption Party Value “true” or “false” or Party ID Value of the party 

claiming End-User Exception. The Clearing 

Exception Party Prefix will be applicable only 

when Party ID value is provided. 

Clearing Exception or Exemption Type “End-User” or 

“Cooperative” 

While the Clearing Exception Type field is auto-populated by DDR for FpML submissions based on the role 

provided in the FpML message, participants should submit the clearing exception or exemption type field 

with one of the appropriate values selected when submitting using CSV. 

In case of both CSV and FPML – if the submission is done on behalf of one party – the Clearing Exception 

party information will be applied only on that side of the position. 

If the submission is done on behalf of both parties – the Clearing Exception party information will be applied 

on both sides of the position. 

 
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ANNUAL END-USER CLEARING 

EXCEPTION / EXEMPTION FORM 

This form is being provided to satisfy the Electing Counterparty’s annual reporting requirements under 

CFTC Regulations 50.50(b), 50.51(c) or applicable CFTC Letters. 

ELECTING COUNTERPARTY INFORMATION

Full Legal Name: ___________________________________ 

DTCC Account Number (if applicable):__________________ LEI:________________________ 

PRIMARY CONTACT INFORMATION

Name: ____________________________________________________________________ 

Contact Phone: ____________________________ E-mail:_______________________ 

FINANCIAL ENTITY STATUS

The Electing Counterparty is: (one must be checked) 

☐ Not a Financial Entity, as defined in Section 2(h)(7)(C)(i) of the Commodity Exchange Act 

☐ An Insured Small Bank, Savings Association, Farm Credit System Institution or Credit Union exempted 

under CFTC Regulation 50.50(d) 

☐ A Captive Finance Company excepted under Section 2(h)(7)(C)(iii) of the Commodity Exchange Act 

☐ An Eligible Treasury Affiliate excepted under Section 2(h)(7)(D) of the Commodity Exchange Act 

☐ A Cooperative exempted under CFTC Regulation 50.51(a) 

☐ An Eligible Treasury Affiliate meeting the conditions of CFTC Letter No. 14-144 

☐ A Bank Holding Company or Savings and Loan Holding Company meeting the conditions of CFTC 

Letter No. 16-01 

☐ A Community Development Financial Institution meeting the conditions of CFTC Letter No. 16-02 

HEDGE OR MITIGATE COMMERCIAL RISK 

(does not apply to Cooperative Exemption or Eligible Treasury Affiliate Relief)

☐ I certify that the Electing Counterparty will only elect the end-user exception for swaps that hedge or 

mitigate commercial risk as described in Section 2(h)(7)(A)(ii) of the Commodity Exchange Act and 

CFTC Regulation 50.50(c). 

ELIGIBLE TREASURY AFFILIATE RELIEF 
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☐ I certify that the Electing Counterparty meets the conditions contained in CFTC Letter No. 14-144. 

EXEMPT COOPERATIVE 

☐ I certify that the Electing Counterparty will only elect the cooperative exemption form for: 

 swaps entered into with a member of the exempt cooperative in connection with originating a loan or 

loans for that member, which satisfies the requirements of CFTC Regulation 1.3(ggg)(5)(i)-(iii); or 

 swaps that hedge or mitigate commercial risk related to loans to or swaps with members (as such swaps 

are described above). 

FINANCIAL OBLIGATIONS

How does the Electing Counterparty generally meet its financial obligations associated with entering into 

non-cleared swaps? (Check all that apply. At least one must be checked.) 

☐ A written credit support agreement 

☐ Pledged or segregated assets (including posting or receiving margin pursuant to a credit support 

agreement or otherwise) 

☐ A written guarantee from another party 

☐ The electing counterparty’s available financial resources 

☐ Means other than those described above (optional description of other means may be provided 

below) 

ISSUER OF SECURITIES

Is the Electing Counterparty an issuer of securities registered under section 12 of, or is required to file reports 

under section 15(d) of, the Securities Exchange Act of 1934? 

☐ YES 

☐ NO 

If YES, please provide the required information below: 

SEC Central Index Key Number:_____________________ 

☐ The appropriate committee of the board of directors (or equivalent body) has reviewed and 

approved the decision to enter into swaps that are exempt from the clearing requirement of section 

2(h)(1), and section 2(h)(8) of the Commodity Exchange Act. 

I hereby certify that the information contained in this Annual End-User Clearing Exception / Exemption 

Form is true and accurate to the best of my knowledge. 

Signature:______________________________ Date:___________________________ 

Name: _______________________________ Title:___________________________