November 10, 2007
Dear Ladies and Gentlemen,
As I have previously stated on a related proposed rule change by the cboe, the stated mission of the Securities and Exchange Commission is to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation. The proposed rule change requested by the CBOE is all about property rights and therefore seems outside the scope of the stated regulatory missions of the SEC. Upon the creation of the CBOE by the CBOT, certain privileges and property rights were contractually granted to CBOT members. The rule change requested by the CBOE is just another end run attempt to negate those property rights, having nothing to do with orderly, fair, and efficient markets. Property rights are legal issues. If negotiations of the parties fail, they should be decided by our court system. The American legal system is rightfully credited to be the cornerstone of the success of our country. I trust that the SEC will not fall victim to the misguided strategy of the CBOE in their attempt to circumvent the legal system of U.S.A. by rightfully denying their request for the subject rule change, and on each of their other rule submissions: SR-CBOE-2006-106, SR-CBOE-2007-77, SR-CBOE-2007-091 and SR-CBOE-2007-106.
Respectfully Submitted,
Stuart Reif
CBOT Member since 1979