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CBOE wins four year battle to stop ISE listing S&P options

01 September 2010

The Chicago Board Options Exchange has won its legal battle with the International Securities Exchange to keep the exclusive rights to list its suite of index options.

Read more: CBOE Chicago Board Options Exchange ISE International Securities Exchange index options

Judge William Maki in the Circuit Court of Cook County, Illinois, upheld CBOE’s challenge, banning the New York-based options exchange from offering options linked to the Standard & Poor’s 500 Index and the Dow Jones Industrial Average.

He also forbade the Options Clearing Corporation to clear such contracts.

The legal battle between the two leading US options exchanges began in 2006 when ISE sued the CBOE to end its exclusive hold, and the CBOE countersued ISE and the Options Clearing Corporation.

Separately, ISE has fallen into line with most of the other US options exchanges by introducing Do Not Route orders, allowing customers to choose to keep their order at ISE, even if the national best price is at another exchange.


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