Contract Rules

  1. 1.

    GENERAL

    Rules in Section 1 apply to all contracts listed on the TradeSports exchange, however Trading Category specific rules, Exchange Rules and/or Official Exchange Announcements (published in the Exchange News section of the homepage) may specify otherwise and supplement and/or update the rules in Section 1.

    Further details on margin calculations may be found in the Margin Examples on the website and margin rates are available in the Rates and Fees section. A summary of the contract specification is available by clicking on the relevant contract symbol.

    1. 1.1.

      Expiry

      All contracts will be expired at the time specified in the individual contract rules after the results are crosschecked with three reliable media sources.

      In the event of a contract being listed erroneously,(or the underdog team/player has been listed as the favourite) TradeSports reserves the right to halt trading in a contract and unwind all trades that have occurred. The Exchange reserves the right to unwind any trade it sees fit and/re-price any trade.

      See Sections 7.9 and 8.4.4 in the TradeSports Exchange Rules for a description of the expiry process.

    2. 1.2.

      Material Unrepresentative Price Trading

      The Exchange rule on Material Unrepresentative Price Trading is designed to ensure as far as practicable that Members who trade at significant bone fide price errors have a mechanism to have the trades investigated by the Exchange and cancelled or repriced if the Exchange determines in its absolute right that is the appropriate action in all the circumstances.

      Furthermore, this rule highlights that Members who take or attempt to take advantage either knowingly or not of Material Unrepresentative Price orders should have no expectation of profiting from the Material Unrepresentative Price orders of other Members.

      If the Exchange determines that a transaction in a Contract has taken place at an unrepresentative price the Exchange may, within its sole discretion, cancel or reprice the transaction as soon as practicable. The Exchange may consider the following factors when considering whether to cancel a transaction:

      • the opening price levels of the Contract on the System;
      • the current market conditions, including levels of activity, volatility, liquidity and whether the market was "in-running";
      • the last trade price for the Contract;
      • the time stamped order flow for that contract
      • the information regarding price movements in related markets or Contracts, the release of economic data, or other relevant news immediately before or during the trading session;
      • a manifest error;
      • the proximity of the trade to the close of the market; and/or
      • the impact of the erroneous transaction on other transactions
      • the fair market price if one exists at the time of the transaction
      • the financial significance and/or materiality of the transaction
      • whether a cancellation would be equitable in the Exchanges absolute opinion on all party's to the trade when all the circumstances are considered.

      When the Exchange cancels or reprices a transaction in a Contract because of an unrepresentative price, the Exchange shall as soon as practicable notify the Member(s) of the cancellation or reprice by electronic mail, notifications in account message box or through any other means that the Exchange deems appropriate. Where relevant, trading and or expiry fee rebates will be calculated as soon as practicable with appropriate postings made to member account(s).

      A Member that executes a transaction in a Contract at a price that he/she believes is unrepresentative may for a non-refundable fee of $200, (request as soon as practicable, which under normal circumstances will be within 10 minutes, when a contract is considered 'in-running' or 'live' by the Exchange in its absolute right, or within one Trading Session in all other circumstances of the Order's execution) contact the Exchange to seek by mail on help@tradesports.com with a subject line "Material Unrepresentative Price" to cancel the transaction.

      If the Member does not have sufficient funds in his or her trading account to cover the non-refundable fee the request will not be entertained by the Exchange. The Exchange will respond to such a request as soon as practicable stating that the request has been received, indicating an approximate time for a formal response and at such time the fee will be taken from the members account. The Exchange is not obliged to act on any request and the Exchange's cancellation or modification of transactions pursuant to this Rule will be final.

      Any third party which shall include the Exchange may also request the application of this Rule 1.2 within the time framework detailed above. In such circumstances the Trades called into question will be evaluated in accordance with this Rule and the third party will be subject to the non-refundable fee of $200.

      Trades resulting from quantity errors are not covered by this Rule 1.2.

      Multiple Trade Errors

      If an unrepresentative price trade results in trade executions at multiple price levels, the referenced last trade price shall be the last trade price prior to the entry of the alleged unrepresentative price trade. If the alleged unrepresentative price trade is the first trade in a contract that has not previously traded, the Exchange will determine the fair value estimate which will be gauged against the unrepresentative price trade range to determine the application or otherwise of this rule.

      Stop Orders

      If a unrepresentative price trade causes a stop order to become elected and subsequently filled, these trades may be cancelled by the Exchange, or the trades may be re-priced in line with the last traded price which occurred immediately prior to the price deemed to be an unrepresentative price (or the preceding settlement price, whichever occurred more recently).

      While it is not possible to comprehensively define an unrepresentative price, purely for guidance purposes only, the Exchange may consider for 0-100 contracts a price that is 20% of the total contract value (ie 20 full ticks) or greater, away from what the Exchange considers to be fair value.

      For totals contracts, the Exchange may consider a price that is 20% or greater from the last trade price depending on time stamps. Furthermore, in volatile, fast moving or in-running markets it is possible that a higher significance level than 20% will be appropriate.

    3. 1.3.

      Postponement/Abandonment/Cancellation

      If an event/season/announcment etc is postponed, cancelled or abandoned (or for any other reason does not take place) and the result has not been unconditionally determined, the exchange will halt trading in the contracts, unwind all trades that occurred and refund all exchange fees paid.

    4. 1.4.

      Official Changes to the Result

      Any official changes to the outcome of an event or season after the time that the relevant result is declared (see individual contract rules for these timings) will be disregarded when setting the expiry price. Therefore, disqualification, re-instatements or points amendments made after a season or event has concluded will be disregarded. Changes to the result made before the relevant official result is declared will be taken into consideration when setting the expiry prices.

    5. 1.5.

      Changes to the Format of the Tournament/Competition

      Any changes to the format of an event, including additions or reductions to the number of component events in a season, will not affect 0-100 contracts unless the effect is to extend the length of the event or season, in which case the expiry date of the contracts will be similarly extended.

    6. 1.6.

      Changes to Participants/Player Non-Participation

      If a team or individual does not participate or withdraws from an event or season for any reason, the exchange will halt trading in the contracts unwind all trades that occurred and refund all exchange fees paid.

      In the event of a withdrawal during a season, the relevant totals contract for the withdrawing participant will expire as if the season had concluded. All other contracts remain unaffected.

      If a new participant joins the event/season after the exchange has listed the 0-100 contracts, the participant will be regarded as a constituent of the field contract.

    7. 1.7.

      Ties

      In the event of a tie, the expiry price will be determined by the official tournament rules for determining the winner. For certain events all trades will be unwound. See individual contract rules.

    8. 1.8.

      Proposition Contracts:(General Rule)

      A 0-100 Contract that a specified outcome occurs. The expiry price will be 100 if the specified outcome does occur and 0 if it does not. Expiry Results: The Result used to determine the expiry prices will be specified in the accompanying Exchange News story for each individual Proposition contracts.

      Where the expiry price is determined by news announcements, the Trade Exchange Network reserves the right to pause the markets, halt all trading and unwind ALL Trades time stamped within one hour prior to the first news story/announcement appearing on Associated Press new service or another similar major news provider.

      All time protected markets will be clearly labelled as such in the accompanying Exchange News Story.

    9. 1.9.

      Unforeseen Circumstances

      If there is any other change to an event not addressed in the Rules, the exchange, at its sole discretion, will determine the fairest and most appropriate course of action on the basis of the most similar event outlined in the Contract Rules.

    10. 1.10.

      0-100 Contract Specifications

      General Reduced Tick Size
      Minimum Price 0 0
      Maximum Price 100 100
      Tick Size 1 .1
      Contract Value USD $0.10 USD $.01

      All Other Contract Specs:

      Individual contract information is contained in the contract specifications pop-up window, available by clicking on the contract symbol.

      Margin Information

      If applicable initial margin will be calculated using the margin rates published on the contract specifications pop-up. Otherwise Initial margin will be calculated as the worst-case possible loss on your open positions and orders for the event.

  3. 2.

    American Football

    1. 2.1.

      Game Contracts

      For trading purposes, a football game (college or pro) becomes official after fifty-five(55) minutes of play.

      Games lasting under 55 minutes will cause the exchange to "unwind" all contracts relating to the game with funds returned and exchange fees returned.

      In the event of a tie at the end of overtime the listed moneyline contract will be unwound.

      Trading on the game contracts (spread, moneyline or total) will include any overtime scoring.

      Any "statistic" contracts will be expired in accordance with the results published by the corresponding league, i.e. NFL.

      Where the venue and/or date of a game is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. 2.2.

      Season Contracts

      All Over/Under Win Total contracts will be expired based on a team's regular season (NOT post season) win total.

      If a team does not play any of its regular season scheduled games then the O/U Total contract will be declared void and all trades will be unwound.

      Total Wins contracts will be expired based on a team's regular season (NOT post season) win total.

      If a team does not play any of its regular season scheduled games then the Total Wins contract will be declared void and all trades will be unwound.

      NCAA Conference Winners will be expired based on the team with the best conference record. In the case of a tie, the team declared by the sanctioned conference authority is the winner.

      If the conference declares a tie, the following tiebreakers will apply:

      1. PAC10 & Big10 & Big East: The team with the higher BCS ranking will be expired as the winner.
      2. Conferences with Championship Games: Winner of conference is game winner. If the championship game ties, then the team selected first by the BCS Committee will be expired as the winner.
      3. If none of the teams involved are BCS, then the team with the highest Jeff Sagarin NCAA Football Rating will be declared the winner.

      General Exchange Rules apply for any rules not mentioned above

    3. 2.3

      Regular Season Prop Contracts:

      The Player with Most Regular Season TD Passes contracts will be expired based on the total TD Passes at the end of Regular Season as reported by the NFL.

      In the case of a tie between two or more players, the winner wil be player with most Yards for the Season.

      The Player with Most Regular Season Rushing Yards contracts will be expired based on the total Rushing Yards attributed to each Player at the end of Regular Season as reported by the NFL.

      In the case of a tie between two or more players, the winner wil be player with the Highest Average yards per Run.

      The Player with Most Regular Season Receptions contracts will be expired based on the total Receptions at the end of Regular Season as reported by the NFL.

      In the case of a tie between two or more players, the winner wil be player with the Highest Yards per Catch.

      General Exchange Rules apply for any rules not mentioned above.

  4. 3.

    Auto Racing

    1. 3.1.

      Race and Match Up Contracts

      If a race is abandoned and no official result is declared all trades on that race will be voided.

      Podium positions will count as official results, regardless of any subsequent disqualifications.

      NASCAR: A driver must cross the Start/Finish Line for contracts to be actionable.

      NASCAR: In a case where the starting driver is replaced during the race with another driver from the same team, the position the driver finishes in will be awarded to the original driver.

      FORMULA 1: If a driver fails to appear on the starting grid prior to the start of the warm-up lap, all trades in that contract will be "unwound".

    2. 3.2.

      Season Contracts

      NASCAR: a driver must start in 33 races for contracts to be actionable in the Nextel Cup Winner contract.

      Formula 1: For Constructors Championship and Drivers Championship contracts, the winner will be determined by the number of points accumulated following the final race of the season and will not be affected by any subsequent changes to standings.

    3. General Exchange Rules apply for any rules not mentioned above

  5. 4.

    Baseball

    1. 4.1.

      Game Contracts

      If the listed pitches do not start the game then all contracts will be unwound and new game contracts will be listed with the correct starting pitchers.

      A game becomes official for moneyline trading purposes after 4.5 if the home team is winning, or 5 innings if visiting team is winning.

      If a game is cancelled or suspended, the winner is determined by the score of the last full inning ( unless the home team scores to tie, or takes the lead in the bottom half of the inning, in which case the winner is determined by the score at the time the game is called).

      All trades will be unwound if the home team ties the game, and the game is suspended.

      Game contracts do not carry over to the following day (unless otherwise specified).

      For runlines and game totals (over/under) contracts, a baseball game becomes official after 8.5 innings if the home team is winning, or 9 innings if a visiting team is winning.

      If a game goes past 9 innings and is not completed (i.e. suspended, rain delay, etc.) the executed trades in the game total and runline contracts will be honored.

      Any "statistic" contracts will be expired in accordance with the results published by the corresponding league, i.e. MLB.

      If a game does not start at the stated date all trades will be unwound.

      Grand Salami Contracts: For trades to stand, ALL games must go to 8.5 innings. If any game is cancelled or rained-off, all trades will be void. Any pitcher changes in the relevant games will NOT affect the Grand Salami contracts.

      In the case of a Tie between the Home and Away Teams for runs scored, all trades will be void

    2. 4.2.

      Season Contracts

      If a team plays less than 160 games then all Total Wins and Over/Under Wins contracts will be unwound.

      All Total Wins and Over/Under Wins contracts do not include post season.

      Regarding the Pitcher with Most Wins contracts, a tie will be broken with pitcher with the lowest Earned Run Average (ERA) who will be declared the winner.

      Regarding the Team with Most Runs Scored contracts, a tie will be broken with the team with the highest Batting Average who will be declared the winner.

      Regarding Player with Most Homeruns and Player with Most RBIs, a tie will be broken with the player with the highest batting average who will be declared the winner.

    3. General Exchange Rules apply for any rules not mentioned above

  6. 5.

    Basketball

    1. 5.1.

      Game Contracts

      For trading purposes, a basketball game becomes official after forty-three (43) minutes of play for pros, and thirty-five (35) minutes for college.

      Games lasting under official time will have all contracts "unwound".

      Trading on the game contracts (spread, moneyline or total) will include any overtime scoring.

      Any "statistic" contracts will be expired in accordance with the results published by the corresponding league, i.e. NBA.

      Where the venue and/or date of a game is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. 5.2.

      Season Contracts

      If a team plays less then 80 games then all Total Wins and Over/Under Wins contracts will be unwound.

      All Total Wins and Over/Under Wins contracts do not include post season.

      NCAA Conference Winners (ACC, Big 10, Big 12, Big East, Pac 10): Contracts are for regular season only. If one or more teams are tied for first place then the team that is given the #1 seed for the post-season tournament will be expired as conference winner.

    3. General Exchange Rules apply for any rules not mentioned above

  7. 6.

    Boxing

    1. If you trade on a fighter, and the fight ends in a draw and there is no draw contract, the contracts will be "unwound".

      A full round is defined as one in which the bell (buzzer etc.) has sounded, signifying the conclusion of such round. For example, if a fighter is counted out or the bout is officially stopped after 1.5 minutes of the 8th round, the fight will be deemed to have lasted Over 7.5 rounds. If either fighter fails to answer the bell for a round the fight is judged to have finished in the previous round.

      Where the venue and/or date of a fight is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. General Exchange Rules apply for any rules not mentioned above

  8. 7.

    Cricket

    1. 7.1.

      Test Series/Test Matches

      In the event of a tied test match the Draw contract will expire at 100 and each of the named team contracts will be expired 0

      If a ball is not bowled during the series or match then all trades will be unwound.

      Any changes to individual matches in the Test Series will not affect the Series Contracts unless the effect is to postpone the completion of the series by more than 2 weeks, in which case the Exchange has sole discretion as to whether to amend the closing date of the Contract accordingly or to treat the change as a cancellation of the series.

    2. 7.2.

      Individual One-Day Match Contracts/ One-Day International(ODI) Test Series

      In the event of a tied match all trades will be unwound.

      Where there are joint winners of an ODI series, the win contracts on each of the joint winners will settle at 50 where the competition is shared by two teams, 33 where there are three winners and 25 where there are four winners etc.

      If a ball is not bowled during the series or match then all trades will be unwound.

      If a match is abandoned or for any other reason is declared "No Result" after play has started, all trades will be unwound.

      If a match is shortened by weather or for any other reason, contracts will be expired according to the official result (which may include matches affected by the Duckworth Lewis method).

      Any changes to individual matches in the ODI Series will not affect the Series Contracts unless the effect is to postpone the completion of the series by more than 2 weeks, in which case the Exchange has sole discretion as to whether to amend the closing date of the Contract accordingly or to treat the change as a cancellation of the series.

  10. 10.

    Golf

    1. 10.1.

      Tournament Contracts

      If a player withdraws without hitting a stroke, then the player's contract will be "unwound". All other player contracts will be actionable.

      A tournament must go 54 holes for contracts to be actionable.

      If a tournament is abandoned and no official result is declared all trade will be "unwound".

      For Tournament Props, such as Top European Player, etc, where there is a tie, dead-heat rules will apply, ie. if 2 players tie, both contracts will expire at 50; 3 players tie, contracts will expire at 33.3 and so on.

    2. 10.2.

      Match Contracts

      Both players must tee-off for contracts to be actionable.

      The player who completes the most holes of a tournament will be deemed the winner.

      If both players complete the same number of holes the player with the lowest score will be deemed the winner.

      If golfers are tied after both their respective rounds, then all trades will be void.

      A tournament must go 54 holes for contracts to be actionable.

    3. General Exchange Rules apply for any rules not mentioned above

  11. 11.

    Horseracing

    1. 11.1.

      Day of the Race Contracts:

      Races will be expired based on the Official result declared by the track on the day of the race. Any subsequent disqualifications will not affect the result.

      Trades are placed on a named selection - Card numbers are posted as a guide only. Horses will not be coupled.

      Scratches: If a horse withdraws prior to the start of the race, all trades on that horse only will be void.

      If 2 or more horses are declared joint winners, dead-heat rules will apply whereby if 2 horses win, both are expired at 50, 3 horses tie, expire at 33.3 and so on.

      The Exchange will pause all horseracing markets at or before the start time of each race. The Exchange reserves the right to void any trades matched after the start.

    2. 11.2.

      Horseracing Futures/Ante-post:

      In Futures/Ante-post races, all trades on an individual horse will be actionable whether the horse runs or not.

      If a race is postponed or rescheduled, all trades will stand unless the entries for the race are re-opened.

      If the race is officially abandoned or declared void, or the venue or conditions of the race change, then all trades will be void.

      The Exchange will pause Ante-post markets at the time of the race's final declaration stage. A new day-of-the-race market will be listed and will remain open until the start of the race. Liabilities will not be carried between the two markets.

      If 2 or more horses are declared joint winners, dead-heat rules will apply whereby if 2 horses win, both are expired at 50, 3 horses tie, expire at 33.3 and so on.

    3. General Exchange Rules apply for any rules not mentioned above

  12. 12.

    Ice Hockey

    1. 12.1.

      Game Contracts

      For trading purposes, a hockey game (pro, amateur or college) becomes official after fifty-five minutes of play

      Games lasting under official time will have all contracts "unwound".

      Trading on the game contracts (goal handicap or total) will include any overtime scoring.

      Where the venue and/or date of a game is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. General Exchange Rules apply for any rules not mentioned above

  13. 14.

    Rugby Union

    1. 14.1.

      Game Contracts

      Unless otherwise stated, all trades apply only to Regular time including injury time. Any over-time is not included.

      Where the venue and/or date of a game is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

  15. 15.

    Soccer

    1. 15.1.

      Game Contracts

      Unless otherwise stated, all trades apply to the full 90 minutes of play including injury time. Any over-time and penalty shoot-outs are not included.

      Where the venue and/or date of a game is changed after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. 15.2.

      Season Contracts

      For Total Points Contracts, if the relevant sporting authority deducts any points from a team's total attained on the field of play, that deduction will apply, unless the deduction is made after all the games have been played and the Contracts have expired, in which case it will be disregarded.

    3. General Exchange Rules apply for any rules not mentioned above

  17. 16.

    Tennis

    1. 16.1.

      Match Contracts

      Both Players must start for contracts to be actionable.

      A match must go one full set for contracts to be actionable.

      Where the venue and/or date of a game is changed to greater than one week after a contract is listed then the exchange will "unwind" all contracts and relist a new contract with new venue/date.

    2. 16.2.

      Tournament Contracts

      A player must start the tournament for contracts to be actionable. If a player withdraws before the start of the tournament, contracts for that player will be "unwound". All other contracts would be actionable.

    3. General Exchange Rules apply for any rules not mentioned above

Last Updated Octobe 8th 2007