{"data":{"id":"us/12-u.s.c.-4401","jurisdiction":"us","citation":"12 U.S.C. § 4401","heading":"Findings and purpose","body":"The Congress finds that—(1) many financial institutions engage daily in thousands of transactions with other financial institutions directly and through clearing organizations; (2) the efficient processing of such transactions is essential to a smoothly functioning economy; (3) such transactions can be processed most efficiently if, consistent with applicable contractual terms, obligations among financial institutions are netted; (4) such netting procedures would reduce the systemic risk within the banking system and financial markets; and (5) the effectiveness of such netting procedures can be assured only if they are recognized as valid and legally binding in the event of the closing of a financial institution participating in the netting procedures.","path":["Title 12—BANKS AND BANKING","CHAPTER 45—PAYMENT SYSTEM RISK REDUCTION"],"source_url":"https://uscode.house.gov/download/releasepoints/us/pl/119/103/xml_usc12@119-103.zip","current_through":"Public Law 119-103 (09/02/2026)","vintage":"","retrieved_at":"2026-09-10T05:56:24Z","sha256":"9b3a1cc2b4b1925c78b31bb2ac412440caaf9bd59e2b515a45ee85334cf3cd83","source_id":"us","stale":false,"prev":"us/12-u.s.c.-4313","next":"us/12-u.s.c.-4402"},"notice":"GroundRules: Original legal text. Not legal advice."}