The Defining Dealer Act amends federal securities law to establish a specific definition of "dealer" under the Securities Exchange Act of 1934. A dealer would be defined as any person engaged in the business of buying securities from customers for their own account with intent to resell them elsewhere, and selling securities to customers that were previously purchased for the dealer's own account. The definition explicitly excludes most security-based swaps from this classification. The new definition takes effect 30 days after the bill becomes law. Additionally, the bill requires courts and the Securities and Exchange Commission to vacate any legal orders or judgments issued both before and after the law's enactment that would not have been entered under this new definition, with prior judgments to be vacated as soon as practicable and more recent ones within five years of enactment.
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