Series 7: 3.6.12. Rule G-12—Uniform Practice Rules

3.6.12. Rule G-12—Uniform Practice Rules

This rule provides a set of uniform standards for clearing and settling municipals transactions and codifies requirements for good delivery. We learn here that settlement will occur on the second business day after the trade date, except for cash transactions, which settle on the trade date. We also learn that sellers must follow rules of good delivery. Good delivery means that a security is in