From: Michael C. Rothman
To Whom It May Concern:
I stand in strong opposition to the CBOE’s proposed rule change relating to the CBOE’s December 12, 2006 proposed interpretation of Article Fifth (b) of CBOE’s Certificate of Incorporation.
I believe that the CBOE is doing this to enrich the CBOE member class at the expense by voiding their contractual obligation to CBOT members.
I own two CBOT full memberships. I exercised my membership’s rights on one of the full memberships in 1984. I have been paying fees (dues, technology fees) since that time even though I have not made a trade at the CBOE for the past twenty years. The CBOE has consistently recognized and amplified the CBOT’s exercise right many times over the years. Not only was there a contractual obligation to maintain the exercise right, and this was reflected in the purchase price of my memberships, there was also an expectation that my dues and fees totally many thousands of dollars were strengthening and maintaining an exchange in which I had an irrevocable interest through both of my CBOT full memberships. My contractual rights have clearly been violated and the CBOE has created a substantial previously non-existent financial risk to me as an Exerciser Member.
Thank you for consideration of my letter.
Michael C. Rothman