Template:Nutshell 2002 ISDA 6(a): Difference between revisions

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{{isdaprov|6(a)}} '''{{isdaprov|Right to Terminate following Event of Default}}'''. If there is an {{isdaprov|Event of Default}} with respect to a party (the “'''{{isdaprov|Defaulting Party}}'''”) the other one (the “'''{{isdaprov|Non-defaulting Party}}'''”) may designate an {{isdaprov|Early Termination Date}} for all outstanding {{isdaprov|Transactions}}.<ref>It happens automatically and immediately if {{isdaprov|Automatic Early Termination}} applies and the {{isdaprov|Event of Default}} is a Bankruptcy</ref>. <br>
{{isdaprov|6(a)}} '''{{isdaprov|Right to Terminate following Event of Default}}'''. If there is an {{isdaprov|Event of Default}} with respect to a party (the “'''{{isdaprov|Defaulting Party}}'''”) the other one (the “'''{{isdaprov|Non-defaulting Party}}'''”) may designate an {{isdaprov|Early Termination Date}} for all outstanding {{isdaprov|Transactions}}.<ref>It happens automatically and immediately if {{isdaprov|Automatic Early Termination}} applies and the {{isdaprov|Event of Default}} is a Bankruptcy</ref>. <br>
If {{isdaprov|Automatic Early Termination}} applies to a {{isdaprov|Defaulting Party}} such an {{isdaprov|Early Termination Date}} will occur immediately upon a {{isdaprov|Bankruptcy}} {{isdaprov|Event of Default}} (other than {{isdaprov|5(a)(vii)}} (2), (4) or (7)) immediately before institution of the relevant proceeding. <br>

Revision as of 10:55, 23 October 2017

6(a) Right to Terminate following Event of Default. If there is an Event of Default with respect to a party (the “Defaulting Party”) the other one (the “Non-defaulting Party”) may designate an Early Termination Date for all outstanding Transactions.[1].

If Automatic Early Termination applies to a Defaulting Party such an Early Termination Date will occur immediately upon a Bankruptcy Event of Default (other than 5(a)(vii) (2), (4) or (7)) immediately before institution of the relevant proceeding.

  1. ↑ It happens automatically and immediately if Automatic Early Termination applies and the Event of Default is a Bankruptcy
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