CLARIFICATION OF SOURCE OF STRENGTH DOCTRINE.

SEC. 730. CLARIFICATION OF SOURCE OF STRENGTH DOCTRINE. Section 18 of the Federal Deposit Insurance Act (12 U.S.C. 1828) is amended by adding at the end the following new subsection: “(t) Limitation on Claims.— “(1) In general.—No person may bring a claim against any Federal banking agency (including in its capacity as conservator or receiver) for the return of assets of an affiliate or controlling shareholder of the insured depository institution transferred to, or for the benefit of, an insured depository institution by such affiliate or controlling shareholder of the insured depository institution, or a claim against such Federal banking agency for monetary damages or other legal or equitable relief in connection with such transfer, if at the time of the transfer— “(A) the insured depository institution is subject to any direction issued in writing by a Federal banking agency to increase its capital; “(B) the insured depository institution is undercapitalized (as defined in section 38 of this Act); and “(C) for that portion of the transfer that is made by an entity covered by section 5(g) of the Bank Holding Company Act of 1956 or section 45 of this Act, the Federal banking agency has followed the procedure set forth in such section. “(2) Definition of claim.—For purposes of paragraph (1), the term ‘claim’— “(A) means a cause of action based on Federal or State law that—113 STAT. 1477 “(i) provides for the avoidance of preferential or fraudulent transfers or conveyances; or “(ii) provides similar remedies for preferential or fraudulent transfers or conveyances; and “(B) does not include any claim based on actual intent to hinder, delay, or defraud pursuant to such a fraudulent transfer or conveyance law.”.