Clearing Corporation Law and Legal Definition

Clearing corporation means:

(i) a person that is registered as a clearing agency under the federal securities laws;

(ii) a federal reserve bank; or

(iii) any other person that provides clearance or settlement services with respect to financial assets that would require it to register as a clearing agency under the federal securities laws. Registration is not required if its activities as a clearing corporation, including promulgation of rules, are subject to regulation by a federal or state governmental authority.