Summary of the Dodd-Frank Wall Street Reform and Consumer Protection Act

On June 29, 2010, the House-Senate conference committee finalized negotiations and filed the conference report to accompany the Dodd-Frank Wall Street Reform and Consumer Protection Act. With a vote of 237-192, the House of Representatives approved the conference report on June 30, 2010. Although the Act must still be approved by the Senate and signed by President Obama before becoming law, these steps are expected to occur during the month of July. The Act is the most sweeping legislation regulating the U.S. financial services industry since the Great Depression. Some of the Act’s provisions will become effective immediately upon enactment. Most provisions, however, have a delayed effectiveness and/or require rulemaking by various Federal regulators. In addition, the scope and meaning of many of the Act’s provisions are unclear. It is therefore difficult to predict with confidence the potential impact of the Act on U.S. financial institutions and markets.

In this memorandum, we summarize the provisions of the Act that we believe have the greatest potential impact on the financial markets and market participants.

Please feel free to contact any of your regular contacts at the firm or any of the individuals listed in the schedule to this memorandum if you have any questions.