Securities Contracts (Regulation) Act, 1956 · Contracts and options in securities
Section 18A: Contracts in derivatives
Notwithstanding anything contained in any other law for the lime being in force, contracts in derivative shall be legal and valid if such contracts are—
(a) traded on a recognised stock exchange;
(b) settled on the clearing house of the recognised [stock exchange; or] in accordance with the rules and bye-laws of such stock exchange.]
[(c) between such parties and on such terms as the Central Government may, by notification in the Official Gazette, specify.]
Source: India Code (indiacode.gov.in), the consolidated text published by the Legislative Department, Government of India. Text as updated on India Code on 15 October 2026. Words in square brackets [ ] were inserted or substituted by later amending Acts, and *** marks words omitted by an amendment. The amendment footnotes are not reproduced here. Official text on India Code.
Supreme Court judgments citing the section 18A
No Supreme Court judgment in our database cites this section yet.