5.11.1. Close-Outs of Uncompleted Exchange Trades
Close-outs conducted under Regulation SHO aren’t divided into buy-ins and sell-outs. They are always the result of a seller's fail-to-deliver. There are a couple reasons that Regulation SHO doesn't have to deal with situations in which the buyer is at fault for a transaction not settling on time. The risk of a buyer improperly rejecting delivery is eliminated by the exchange’s