Screen shot 2013-08-28 at 6.47.46 PMBanks considered “globally active, systemically important” financial institutions may seize deposits in bankruptcy.  This ability is established in the U.S. in a Memorandum published by the FDIC, and in U.S. bankruptcy law, which also gives “super-priority” to derivatives counterparties over depositors.  This brief video explains the new legal structures governing our big banks’ bankruptcies.  Read detailed source materials about this legal framework in the U.S. and internationally in Legal Framework for Big Banks Puts Depositors at Risk.