On June 26, 2014, the OSC published further changes to OSC Rule 91-507 Trade Repositories and Derivatives Data Reporting (Reporting Rule). The changes are mainly intended to avoid double-reporting in certain circumstances, as well as provide a reporting exemption where the transaction is reported under equivalent CFTC rules. The changes are expected to come into force on September 9, 2014.
Reduction of double-reporting
Previously, a transaction was required to be reported by both parties if either (i) both parties were derivatives dealers, or (ii) both parties were non-derivatives dealers and each had an Ontario connection. The OSC's expectation was that, in such circumstances, one party would delegate the reporting obligation to the other to avoid duplicate reporting. The OSC subsequently received feedback from industry participants indicating that they intended to double-report in order to avoid regulatory non-compliance should the other party fail to report the transaction.
As a result, the Rule is being amended to permit the parties in these circumstances to select which party will be responsible for reporting the transaction under the Reporting Rule and thereby alleviate the other party. To access this reporting selection process, the parties must utilize the reporting hierarchy contained in the Canadian Transaction Reporting Party Requirements dated April 4, 2014 issued by ISDA (ISDA methodology) which includes executing and filing with ISDA an ISDA Representation Letter specifically designed for this purpose. Note that the ISDA methodology cannot be used to shift the reporting obligation from one party to another contrary to the Reporting Rule (such as from a derivatives dealer to a non-derivatives dealer).
Reporting exemption for transactions reported under equivalent CFTC rules
The Reporting Rule always contemplated that there could be a reporting exemption for transactions reported under equivalent requirements of a foreign jurisdiction, but never officially created one. This has now occurred by the Reporting Rule recognizing reports filed pursuant to U.S. Commodity Futures Trading Commission requirements as satisfying compliance with the Reporting Rule.
Changes to prescribed reporting content
A variety of minor changes have been made to the information required or permitted to be reported (such as disclosing the currency used for valuation purposes and providing an optional field for disclosing information not prescribed elsewhere).
 Ontario Securities Commission Notice of Amendments to Ontario Securities Commission Rule 91-507 Trade Repositories and Derivatives Data Reporting and Companion Policy 91-507CP Trade Repositories and Derivatives Data Reporting (June 26, 2014).
 Specifically: CFTC Real-Time Public Reporting of Swap Transaction Data, 17 C.F.R. pt. 43 (2013); CFTC Swap Data Recordkeeping and Reporting Requirements, 17 C.F.R. pt. 45 (2013); and CFTC Swap Data Recordkeeping and Reporting Requirements: Pre-Enactment and Transition Swaps, 17 C.F.R. pt. 46 (2013).